introduction of hair salon business plan

Free Hair and Beauty Salon Sample Business Plan PDF

Elon Glucklich

6 min. read

Updated February 7, 2024

Looking for a free,  downloadable hair and beauty salon sample business plan Word doc  or  PDF  to help you create a business plan of your own? Bplans has you covered.

Keep in mind that you don’t need to find a sample business plan that exactly matches your business. Whether you’re launching an upscale, full-service salon in a bustling city or a neighborhood barbershop, the details will be different, but the bones of the plan will be the same.

Are you writing a business plan for your salon because you’re seeking a loan? Is your primary concern building a clear roadmap for growth? Either way, you’re going to want to edit and customize it so it fits your particular company.

No two salons are alike. Your business model will be different if you’re renting space to independent hairstylists, rather than taking on employees, for example. So take the time to create your own financial forecasts and do enough market research so you have a solid plan for success.

• What should you include in a hair and beauty salon business plan?

Your hair and beauty salon business plan doesn’t need to be hundreds of pages—keep it as short and concise as you can. You’ll probably want to include each of these sections:

• Executive summary
• Company summary and funding needs
• Products and services
• Marketing plan
• Management team
• Financial plan

One of the things that makes a salon business plan different from some service-based business plans is that you might decide to offer a combination of products and services.

Maybe you’ll sell shampoo, beard oil, or other cosmetics and beauty products, in addition to offering services like haircuts, manicures, or massages. If that’s the case, make sure you include your ideas for upselling products to customers to increase the value of every appointment you book.

Here’s an example of a salon business plan outline.

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• The 7 elements of an effective hair and beauty salon business plan

1. Executive Summary

The  executive summary  provides a high-level overview of your business plan. It should outline the objectives of your hair and beauty salon, such as to offer high-quality services, to expand the client base, or to break into a new market.

Your salon’s mission statement should describe its purpose and what sets it apart from competitors. For example, you may aim to offer a personalized experience for each customer or provide eco-friendly hair and beauty services.

The keys to success are the factors that will help your salon thrive. These may include a prime location, hiring experienced staff, excellent customer service, or a unique product and service range.

2. Company Summary and Funding Needs

The company summary offers a detailed overview of your salon, including its legal structure , location, and history. Also, it highlights your salon’s funding needs if you are seeking financial support.

Clearly state how much funding you need, what you will use it for, and how it will benefit the salon. For instance, you may need funds to renovate the premises, purchase equipment, or boost marketing efforts.

3. Salon Products and Services

This section should detail the products and services your hair or beauty salon will offer. These may include haircuts, hair treatments, manicures, pedicures, massages, and beauty treatments.

If you plan to retail beauty products such as shampoos, conditioners, or skin care items, include this information too. Highlight any unique services or products that differentiate your salon from competitors.

4. Salon Marketing Plan and Analysis

Your marketing plan should outline the strategies you will use to attract and retain customers. These strategies might include social media advertising, loyalty programs, partnerships with local businesses, and special promotions.

Additionally, you should conduct a thorough market analysis. Understand your target customers, their preferences, and their spending habits. Identify your competitors, their strengths and weaknesses, and how you can differentiate your salon.

5. Salon Management Team

The management team section provides information about the salon’s key personnel. This could include the salon owner, managers, stylists, beauticians, and other staff members. Highlight their roles, responsibilities, qualifications, and experience.

If you plan to rent chairs to independent stylists rather than hiring employees, describe how this arrangement will work and the advantages it offers for your business.

6. Financial Plan and Forecasts

Your financial plan should present detailed financial projections, including revenue, costs, and profitability. Include a cash flow statement, income statement, and balance sheet. This section should clearly demonstrate the salon’s potential profitability and financial viability.

Also, outline your pricing strategy. How have you priced your services and products, and how do these prices compare with competitors? What are your wage costs, and how will they affect your profitability?

7. Appendix

The appendix includes any additional supporting documents that complement your business plan. This might be market research data, lease agreements, employee contracts, or licensing and permit documents.

While not always necessary, the appendix can provide valuable context and proof to support your business plan’s content.

• Crafting a Successful Salon Business Plan: Key Considerations

Understanding your target clientele’s needs is crucial to writing a hair or beauty salon business plan that you can put into action. To ensure your business plan is the foundation of a growing operation rather than just checking boxes, ask yourself whether you’re taking these considerations into account.

1. Comprehensive Services Offering

In the beauty industry, customer preferences vary significantly, and staying versatile in your offerings can help cater to a broader clientele. Include a wide range of services that cater to different demographics. You may also consider offering unique or specialized services that distinguish your salon from others.

2. Pricing Strategy

Pricing can make or break your salon. Competitive pricing attracts customers, but your pricing should also cover your costs and ensure profitability. Effective market research can help you understand the average cost of services in your area, which you can use to set your prices competitively.

3. Salon Atmosphere

The ambiance of a salon plays a significant role in attracting and retaining customers. Consider factors like décor, cleanliness, and customer service when planning your salon.

4. Staff Training and Expertise

Quality service is crucial in the hair and beauty industry since word-of-mouth exposure from existing clients is a major driver of new business. Investing in ongoing staff training ensures that your team stays updated with the latest trends, techniques, and customer service skills.

5. Digital Presence

Although word of mouth is one business driver, many of today’s customers research online before visiting a salon. Having a strong online presence, including a well-designed website, effective search engine optimization and active social media accounts, can significantly boost your business.

• Download your free hair and beauty salon sample business plan PDF

Download this  hair and beauty salon sample business plan PDF  for free right now, or visit Bplans’ gallery of more than  550 sample business plans  if you’re looking for more options.

There are  plenty of reasons  salon business owners can benefit from  writing a business plan —you’ll need one if you’re seeking a loan or investment.

Even if you’re not seeking funding, the process of thinking through every aspect of your business will help you make sure you’re not overlooking anything critical as you grow.

Elon is a marketing specialist at Palo Alto Software, working with consultants, accountants, business instructors and others who use LivePlan at scale. He has a bachelor's degree in journalism and an MBA from the University of Oregon.

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How to Write the Perfect Salon Business Plan in 6 Steps

Discover how to craft a winning salon business plan in just six steps! Boost your salon's success with expert tips, market analysis, and strategy insights.

No credit card required.

As a salon owner, having a well-thought-out business plan is essential to the success of your business. A salon business plan outlines your business goals, market analysis, marketing strategies, financial projections, and other key details, serving as a roadmap that guides you through the process of starting, running, and growing your salon. In this article, we’ll go over the key elements of a salon business plan and provide tips on how to write the best business plan for salons in 2023.

How Much Does It Cost to Run a Salon? 

Before you start writing a salon business plan, it’s important to get an idea of the startup and ongoing costs. As we discuss in this article , the costs of starting a salon range from $62,000 for an existing salon to $90,000 for a new operation. With some of the expenses, you’ll incur one-time costs – other expenses will be ongoing such as supplies and inventory. Here are some of the typical costs associated with starting a salon: 

Existing Salon 

When you buy an existing salon, be it a hair salon or nail salon, you save on the costs of buildout, salon equipment , and salon marketing, assuming the salon already has some of these elements in place. Here’s what you can expect to pay for the following:

• Rent deposit: $4,500
• Buyout of current salon: $10,500
• Leasehold improvements: $15,000
• Equipment: $10,000
• Initial supplies: $8,000
• Initial inventory: $4,000
• Certifications and licenses: $4,000
• Marketing: $5,000
• Legal or consulting fees: $1,000

Grand total: $62,000

The upfront costs of building out a brand-new salon, marketing it to local clients, and getting the business up and running will likely exceed those of buying an existing salon. Here are the typical expenses you can expect to incur for a new salon:

• Buyout of current salon: $0
• Leasehold improvements: $35,000
• Equipment: $25,000
• Marketing: $8,000

Grand total: $89,500

You may also want to budget for the following:

• If you need a loan or financing to cover startup costs, expect to pay interest rates of 1.25% to 10%.
• Salon insurance ranges from $50 to $1,000 per month.
• Salon booking software and a point of sale (POS) system range from free to $500 per month. GlossGenius starts at an industry-low $24 per month with low payment processing fees and includes a website, a branded card reader, and other extras.
• A salon website can cost you thousands, but with GlossGenius, it’s included free! Beautiful and customizable, your website is packed with scheduling features and is easy to navigate, helping to increase bookings and future appointments.

How Profitable Is Owning a Salon?

If you owned a salon during the pandemic, no doubt you experienced your fair share of struggles between lockdowns, closures, and reduced business hours. According to Statista , the U.S. market size of beauty salons dropped from $69 billion in 2019 to $42.3 billion in 2020. Fortunately, things are beginning to look up for hair, skin, nail, and other types of salons, with the market valued at $53.6 billion as of 2022.

You can take advantage of the comeback by approaching your salon startup with a solid plan in place, a realistic budget, and a marketing strategy. A beauty salon business plan can help you identify any questions , opportunities, and potential roadblocks so you can have the best chances of getting funding, earning a return on your investment and achieving profitability. The more you control your expenses and market your business successfully, the more profitable you will be – so be sure to take your time creating a salon business plan for your needs.

6 Steps to Writing a Hair Salon Business Plan

The business plan is the most important document for any salon owner. It’s a formal, written plan that describes the future of your business and how you intend to achieve it. A good business plan will help you stay on track, get funding if you need it, and avoid costly mistakes as you navigate through choppy waters in this industry. 

We know what you’re thinking – that a business plan is a monster of a document that will take a ton of time to create. But, it doesn’t have to be. In fact, you can pare it down to one page and still have an effective, clear document that outlines everything you (and any other interested parties) need to know about your new salon. Below are six steps to writing a salon business plan that will ensure your success.

Here are six steps to creating your salon business plan:

• Create an Executive Summary
• Map Out Your Branding Vision
• Research Your Industry
• Create a Client Acquisition Strategy
• Management and Operations
• Financial Planning

Let's dive deeper into each one.

1. Create an Executive Summary

The executive summary is the first section of your business and management plan and provides a brief overview of your salon business. This section should include your mission statement , business objectives, target market, products and beauty services, and financial projections. It should be concise, engaging, and compelling to grab the attention of potential investors, lenders, or partners. It also serves to clarify your goals so you can come back to them anytime you need a refresher or wish to update this information.

Your executive summary is just that: a summary. This means you do not have to get into every detail in this section; you’ll provide a more complete analysis in the individual sections of your business plan. Here are some key elements to include in the executive summary:

• An opening “hook.” The first sentence or two of your executive summary needs to draw in the reader; otherwise, your business plan might not get the attention it deserves. Grab your audience’s attention by sharing a compelling fact about your company, a memorable story related to your industry, or some other well-crafted description of your business that will make your business plan stand out.
• Summary of your business. Describe what your company does, what services and products you will offer, who will run the company, and other high-level details.
• Market analysis. Briefly describe the market landscape for your own salon to show there is a proven need for your services. Be sure to address who your competitors are, any advantages you have compared with others, and any research you’ve conducted to demonstrate there is a demand for your services in the area. 
• Products and services. Highlight the specific services your salon will offer, any products you will sell, and any other information showing that your salon will fill the need you’ve described in your market analysis summary – and how you’ll do it better than the competition.
• Financial information and projections. Give your reader an overview of your business financials, including any current sales and profits, the funding amount you’re looking to acquire or any funding you already have, and your projections for growth.
• Future plans. Tell your reader exactly how you plan to use any funds you acquire and how their investment could pay off. Imagine where you want your business to be in a year, five years, and so on. Make it clear how funding will help you get there.

2. Map Out Your Branding Vision

Branding isn’t just about creating a unique identity for your business; it’s also about helping people connect with that identity and remember your name anytime they need your services. Branding helps both current clients and new customers recognize who you are and why they would want to seek out your salon. In your business plan, be sure to map out your branding vision by including:

• A description of your salon business. Describe who you are and what you do.
• Your mission and vision statement. Briefly summarize why your salon should exist, its primary objective, and how you plan to achieve your goals.
• An overview of your products and services, your pricing strategy, and any unique features or benefits that differentiate your salon from others in the market. Discuss the specific services you will offer and their price points, plus any product lines you will carry, such as hair care products, makeup, or skincare.
• A description of the target audience and customer demographics. Include relevant research on your market and the people who will buy what you’re offering.

3. Research Your Industry

This section should include a market analysis that provides an in-depth look at the salon industry, including trends, customer demographics, competition, and opportunities. It should also identify your target market and describe how you plan to reach them. This section should demonstrate your knowledge of the market and your ability to capitalize on it, with details on:

• The industry and trends. Provide an overview of the salon industry with relevant statistics, especially those that pertain to your area of expertise and geographic location.
• Your competition. Conduct a competitive analysis to gain insights into your competition, their marketing strategies, and the services and products they offer. The goal is to show how you will capture market share using stronger business strategies that set you apart from your competitors.
• Market segmentation. With market segmentation , you break down a larger target market into a smaller group of customers you plan to serve. Demographics such as age and income, geographic location, lifestyles or psychographics, and behavioral factors like price sensitivity or product loyalty are just a few approaches to market segmentation that you can consider for your business plan.
• SWOT analysis. The SWOT analysis is a way to assess your strengths, weaknesses, opportunities, and threats. It's an effective method for identifying your business strengths and weaknesses as well as external factors that may affect the success of your salon business.

4. Create a Client Acquisition Strategy

The client acquisition section of your salon business plan should describe how you plan to attract and retain customers as a hairstylist . It should outline your advertising and promotional strategies, such as social media marketing , SMS marketing , email marketing, and referral programs. This section should also discuss your sales strategy, including how you plan to increase sales and generate revenue.

• Description of marketing channels and tactics . Outline the different channels you will use to generate leads, such as social media, blog articles, emails, and text messages. 
• Sales forecasting and projections. Discuss how you will convert leads into clients, nurture them through the pipeline, and retain a loyal clientele. Include a realistic estimate of the quantity of goods and services you can sell within the forecast period (for example, monthly, quarterly, and annually). For a salon business, it’s helpful to determine the customer lifetime value of your typical client as well as the customer acquisition cost. You can then break down this number for the forecast period to determine the costs and sales projections.
• Customer acquisition and retention strategies. Include which strategies you will use and the associated costs, such as pay-per-click (PPC), search engine optimization (SEO), and paid ads on social media. Describe how you will retain customers – for example, through loyalty programs and responses to feedback and reviews on social media and Google. ‍
• Pricing strategy. It’s critical that you price your services and products competitively to drive revenue and profits. Detail the pricing strategy you plan to implement based on your buyer persona and competitive analysis. The strategy could be based on a variety of factors, but geographic location and local competition will likely be the biggest factors dictating your salon pricing strategy.

5. Management and Operations

The management and staffing section of your salon business plan should describe the organizational structure of your salon, including the roles and responsibilities of each staff member. It should also discuss your hiring and training practices, employee benefits , and compensation plans. This section should demonstrate your ability to attract and retain a skilled and motivated team, with information on your:

• Organizational structure. Spell out who runs the show and who reports to whom.
• Management team and staff. If you plan to hire a manager , look for someone who has experience in the industry and understands what it takes to run a salon. This person should also have good people skills and be able to work well with others.
• Business operations and processes. Consider which other support personnel you will need, such as an accountant and a dedicated marketing specialist. Don’t be a hero; you can’t do it all alone. ‍
• Legal and regulatory requirements. Include information on any legal advice you will employ to stay compliant with local, state, and federal guidelines.

Note that with GlossGenius, you can manage your team and collaborate with them to make your operations run more smoothly. Our software helps you delegate, mentor, and partner with others based on customizable permissions that let you grant as much or as little access as you wish. Easily manage your scheduling, booking, commissions, and reporting from one intuitive dashboard.

6. Financial Planning

Financial planning is a crucial section to include in any salon business plan. A cash flow forecast shows the anticipated amount of money coming into the business, as well as what you will spend on expenses. It also projects growth over time, which allows you to make predictions about future revenue and expenses so that you can better plan for them in advance.

The best way to get started with your financial projections is by creating an income statement (also called a profit and loss statement), which breaks down all income sources by category (e.g., retail sales and commissions), along with their associated costs (e.g., salaries). This will help provide insight into where your profits are coming from as well as areas where they could improve. Here are some key areas to cover in your salon business and marketing plan:

• Revenue and expense projections. Your revenue projections should consider the number of clients you expect to serve, as well as the average price per service. Your expense projections should reflect all costs associated with running your salon, such as utilities, rent, and supplies.
• Capital requirements and funding sources. Detail how much money you need to start and run your small business, including all costs associated with opening the salon. Describe the funding sources that you intend to use for starting your salon business, whether from personal funds, salon loans , or investors.
• Break-even analysis and profitability projections. A break-even analysis is a financial tool that shows how much revenue you need in order to cover your fixed costs (rent, utilities, etc.) and variable costs (such as salons supplies and staff wages). Profitability projections show how much profit you expect from your salon business for each year of operation. This is based on your estimates of revenue and expenses. You can use this information when seeking funding from investors or lenders.
• Financial ratios and metrics. A financial ratio is a measurement of the relationship between two numbers, usually expressed as a percentage or a fraction. For example, the working capital ratio compares your current assets to liabilities; this metric allows you to measure liquidity. Include the appropriate ratios and metrics in your business to demonstrate your company’s financial health.

A well-written salon business plan is essential for the success of your business. It provides a roadmap for achieving your business goals, attracting investors, and securing funding. By following the tips outlined in this article, you can write the best business plan for your salon and ensure your salon’s success!

As you’re creating your salon business plan, remember to start your free trial with GlossGenius and give yourself the best chances for success. From salon management to payment processing, we’ve got your new salon covered – making it easier to get up and running sooner rather than later.

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Hair salon business plan: a complete guide

Learn how to build a hair salon business plan, from budgeting to deciding upon your ideal client, logo, and more.

Table of contents

If you landed on this page, you are likely about to start your journey as a new hair salon owner. We welcome you, dear beauty entrepreneur, to the world of cash flow statement, market analysis, business management, and marketing strategy.

Having your own salon is a wild ride, and we at Appointible want to help you start on the right foot (aka, beauty salon business plan).

In today’s article, we will present a hair salon business plan outline, from defining your services to growing a healthy business.

We also support the idea that a beauty salon business plan should be rich but straightforward enough that salon owners can see clear, actionable steps; thus, we include things like tools and resources and leave others out, such as an executive summary.

Step 1: Define your hair salon services

The first step in building a business plan for your salon starts with defining your services. You may already have an idea of the hairstyles and services you want to offer, but it’s essential to consider some critical factors before finalizing your offerings.

Some of these factors are easy to understand, while others may require more attention, so in this section of the article, we will go through each of them.

List what you know how to do (and what you don’t)

Start by creating a list of all the hair styling services you can provide. List what hair-cutting styles and hair-care services you can perform. Consider all your certifications, work experience, and others to build your list.

Then, list the hair and beauty services that you lack the knowledge to perform. It can be that you miss the required qualifications or is just out of practice; either way, list them as things you can’t offer at your new salon.

If there are gaps in your knowledge that you want to cover, mark them distinctively, as we will come back to courses, training, and certifications later in this article.

Decide if you will hire employees.

Deciding whether you will hire employees – and how many – depends on your budget as much as on your business goals. We already discussed in Appointible  how to assess if you need to hire employees  for your salon business, so be sure to check that one out.

Nonetheless, a more minor salon may only require a couple of employees, such as a stylist or assistant. In contrast, a larger hair salon business may need a bigger team to manage multiple services, as well as tasks such as cleaning, reception, and marketing.

Take a peak at competitor salons.

When it comes to listing your hair salon services, your local competition is a great place to start. Start by analyzing what different hair cutting, hair care, and beauty services the competition offers, as it will give you an idea of what the local market expects from a hair salon.

This step of your beauty salon business plan should start from your immediate competition – neighborhood or city – but not leave out important salons from other parts of the state or country.

Keep up with industry trends.

It’s crucial to stay up-to-date with the latest trends in the hair industry to give your salon a competitive advantage. Following trends not only ensure that your business remains relevant but it also helps attract and retain clients.

Consider subscribing to trade magazines and blogs that cover the latest news and developments in the hair industry. This comprehensive list of beauty blogs ( https://bloggingtips.com/best-beauty-blogs/ ) from Blogging Tips gives an idea of where to start. Attending conferences, trade shows, and workshops is also an excellent way to learn from other professionals and get insights into the newest techniques, products, and services.

This knowledge can help you tailor your offerings to meet the changing demands and preferences of your clientele.

Why Appointible?

• Online booking website
• Access from any device
• SMS & Email reminders
• Take customer Before & After photos
• Multi-location support

Step 2: Create a detailed financial plan

Now that you have a clear idea of your target market, what services you will provide, and a general idea of at what price point, it is time to start building a financial plan for your hair salon.

Needless to say, you will need much more than a business bank account and card to call it a day and claim you have a financial plan in place. Let’s see in this step of the article how to effectively create a solid financial plan for your hair salon business.

A: Calculate your beauty salon budget

As we discussed previously in the article  top 10 habits of successful businesses , a budget is telling your money where to go instead of wondering where it went. This mentality of always being equipped with a proper budget will go a long way on your road to success.

Here are some of the budget lines you might consider when you write a business plan.

For courses and certifications

Earlier in this article, we had you write all the hair services you feel confident (or have the certification for) providing, as well as identify the gaps in your knowledge and what courses and learning paths you should take.

This is the moment of your salon business plan where your list of services and connect them to what courses and certifications you will need to invest in – whether for you or for employees.

Pro tip: plan ahead and save some recurring budget for learning for you, your stylists, and even your management team – some courses can be related to marketing, productivity, or other admin-related fields.

For a Hair salon business license

All legal business entities must have their respective licenses. Business licenses need to be paid and applied for, so the best way to deal with it is to contact a professional specialized in the beauty salon industry or approach the competent local chamber and institutions.

As licenses vary depending on location and specific services you offer, we can’t provide an exact figure. Prepare a budget line for an expense of around $500.

For Utilities and rent

Another important budget line for a hair salon business plan is the cost of utilities and rent. Rent will likely be your largest recurring expense, so it’s important to budget accordingly. You should research the average rent costs in your area and factor that into your budget, but you can expect to pay around $1000 to $2000 on rent alone.

Additionally, you’ll need to consider the cost of utilities such as electricity, water, and gas. To save on utility costs, consider investing in energy-efficient appliances and lighting and making sure your space is well-insulated. You wouldn’t believe how much these savings slowly add up in your finances.

For Hair salon equipment and supplies

You’ll need to purchase equipment such as chairs, styling stations, hair dryers, and shampoo bowls, as well as supplies such as hair products, towels, and cleaning items. Create a list of all the salon equipment and supplies you will need, and then run market research.

Ideally, run a search on wholesale beauty e-commerce, such as www.salonwholesale.com . Alternatively, network with a local community of hair stylists and salons to get an idea of there are local suppliers that offer more competitive prices.

For marketing efforts

Marketing is a crucial aspect of any successful business, including a hair salon. It’s important to allocate a budget for marketing efforts to reach prospective customers as well as retain existing clients. Think of social media, website development, ads in local outlets, etc.

To save on marketing costs, consider using free marketing channels such as social media and email marketing. You can also create your own marketing materials using free online design tools such as Canva.com or Visme.co .

For Hiring hair stylists

If you plan to hire hair stylists for your salon, you’ll need to factor in the cost of hiring and onboarding new employees. This can include expenses such as job postings, recruiting fees, and training costs.

When budgeting for hiring, consider the average salary and benefits for hair stylists in your area. You may also want to factor in the cost of providing employee benefits such as health insurance and paid time off.

To save on hiring costs, consider using free job posting websites or social media to advertise open positions. You can also offer referral bonuses to current employees to incentivize them to refer qualified candidates.

It’s important to have a clear understanding of your staffing needs and to create a hiring plan that aligns with your business goals. This will help you avoid overstaffing or understaffing your salon and ensure that you have the right team in place to provide high-quality services to your clients.

B: Calculate your rates and prices

Once you have a clear understanding of your salon’s expenses, it’s important to calculate your rates and prices in order to generate revenue and make a profit.

When setting your rates and prices, consider factors such as your expenses, your target audience, and your competitors’ pricing. You should also consider the value of your services and the quality of your customer experience.

Here are some steps you can take to calculate your rates and prices:

Run a break-even analysis: This is the point at which your salon’s revenue covers your expenses. To calculate your break-even point, divide your total expenses by the number of services you expect to provide each month.

Research your competitors’ pricing: Research the pricing of other salons in your area that offer similar services. This will give you a sense of the market rate for your services.

Set your prices: Once you’ve determined your break-even point and researched your competitors’ pricing, you can set your prices. Consider pricing your services slightly above the market rate to reflect the quality of your salon and the value of your services.

Review and adjust your pricing: It’s important to regularly review your pricing to ensure that it aligns with your expenses and your business goals. You may need to adjust your pricing over time as your expenses or market conditions change.

Step 3: Build your brand and target market

Building a strong brand is essential for any successful hair salon business. A strong brand helps to create a loyal customer base and can differentiate your salon from competitors. Here are some steps you can take to build your brand and target market.

Define a good mission statement.

A mission statement is a clear and concise statement that defines the purpose and values of your salon. It should communicate the core values of your salon and what makes it unique.

To create a good mission statement, ask yourself the following questions:

What do you want to achieve with your salon?

What values do you want to communicate to your customers?

What makes your salon unique?

Once you have answered these questions, you can use them to create a clear and concise mission statement that reflects your salon’s values and purpose.

Define your hair salon’s ideal clients.

Defining your ideal clients is an important step in building your brand and targeting your marketing efforts. Knowing your ideal clients helps you to tailor your services and marketing messages to their needs and preferences.

To define your ideal clients, consider factors such as age, gender, income level, and lifestyle. You can also consider the types of services and products that your ideal clients are likely to be interested in.

With a defined ideal client, you can create marketing messages and promotions that resonate with them and attract them to your salon.

Define your hair salon’s name.

Choosing a name for your hair salon is a vital part of brand-building – so much so that we wrote an entire article on  picking a name for your hair salon . In short, your salon name should be memorable and reflect your salon’s values and purpose.

When choosing a name, consider factors such as: What do you want your salon name to communicate to your customers? Is the name easy to remember and pronounce? Is the name available as a domain name and social media handles?

We highly advise you to read through the article above, as you will surely come out with a name fit for successful businesses.

Step 4: Pick your salon location

Location is the most important aspect of any real estate deal, whether you are renting a place for your new business or buying a house.

Choosing the right location for your hair salon is crucial to the success of your business. Here are some steps to help you pick the perfect location:

Understand the local market and competition.

Researching the local market and competition will help you understand the demand for beauty services in the area and identify potential competitors.

Consider factors such as population demographics, income levels, and the proximity of other hair salons. Look for gaps in the market that your salon can fill or areas where you can differentiate yourself from the competition.

Pick a location with your target clients in mind.

Time to refer to the part of your beauty salon business plan where you defined your ideal client. Look for a location that is easily accessible and convenient for your target clients. For example, if your target clients are busy professionals, you may want to choose a location near office buildings or shopping centers.

Align with your brand.

Your salon location should align with your brand and communicate the values and personality of your salon. For example, if your salon is focused on eco-friendly and sustainable practices, you may want to choose a location that is environmentally friendly or close to parks and nature reserves.

Choose the right salon size.

Choosing the venue size is another make-or-break point when it comes to location. Consider factors such as the number of chairs you need, the size of your waiting area, and the size of your backroom for storage and supplies. A larger salon may allow you to accommodate more clients, but it may also come with higher overhead costs, as well as potentially looking “empty.”

Ultimately, choosing the right location for your salon requires careful research and consideration. Take the time to evaluate your options and choose a location that will help your salon thrive.

Step 5: Craft a marketing plan for your hair salon

A well-crafted marketing plan is essential to help you promote your hair salon, increase service sales, and keep existing customers coming back. Here are some tips to help you create an effective marketing plan.

Share your work online.

We could name this section “create a social media presence.” However, if there is one thing you should be working on systematically in social media is sharing your work. Yes, indeed, you would also benefit from a website, but social media is hands down the best place to show actual clients hair cuts and their feedback.

Share before and after photos, and short videos of the end result of a client’s hairstyle, ask for 5-star reviews, and more. Aim to share your work at least every second day on social media.

Continuously launch new promos.

Offering promotions and discounts is a great way to attract new customers and encourage existing ones to come back. Consider launching different types of promotions, such as referral discounts, seasonal discounts, or loyalty programs.

Keep your promotions fresh and exciting to encourage repeat business. For example, offer a discount on new services or products you introduce or host a giveaway for a free hair care package.

Build a text message marketing routine.

Text message marketing is an effective way to communicate with your customers and keep them informed about promotions, new services, and other updates. Collect your customers’ phone numbers and build a text message list to reach out to them.

Send regular updates to your text message list, but be sure not to overdo it. Limit the frequency of your messages and offer valuable content such as special promotions or early access to new services.

Step 6: Pick a dedicated booking system

Choosing the right booking system is essential for running a successful hair salon. So much so that we dedicated an entire step in your salon business plan to it; a reliable booking system can streamline your operations, help you manage appointments, and keep your clients happy.

Pen and paper can only do so much for your salon business, and free services, such as Google Calendar, are simply not fit for the job. Here are some of the things you will get to do once you pick an online appointment scheduling software for your hair salon:

You will receive appointments 24/7

With appointment scheduling software, you can get clients any time of the day, any day of the week. Working hours will become a thing of the past when it comes to selling your services.

You will boost your marketing strategy.

An appointment scheduling software can help you integrate your marketing efforts seamlessly. With automated emails and SMS reminders, you can promote your services, offer discounts, and send personalized messages to your clients. This way, you can stay top-of-mind with your customers and ensure that they keep coming back to your salon.

You will reduce the admin workload

Gone are the days of answering endless phone calls, jotting down appointments, and dealing with booking conflicts. With an online booking system, you can automate your scheduling process, send automatic appointment reminders, ask for confirmations, and more, freeing up time to focus on growing your business.

You will seamlessly manage your staff.

With a booking system, you can assign staff members to specific services, manage their work hours, and monitor their performance. You can also give your stylists access to their own calendars, which will allow them to see their schedules and manage their bookings.

An appointment scheduling software for salons looking to grow in 2023

Appointible is a powerful appointment scheduling software that is specifically designed for the hair and beauty industry. With Appointible, you can manage your salon’s bookings, staff schedules, and customer data all in one place. Appointible offers a range of features, including online booking, automated reminders, staff management tools, and an analytics dashboard, to help you streamline your salon’s operations and grow your business.

Create a free account with Appointible  and elevate your salon business plan.

Step 7: Your salon’s growth

If you followed the previous steps correctly, your hair salon is now up and running smoothly. However, you may wonder how to keep your salon growing and thriving in the competitive market. That’s why we dedicated this section to showing you the different paths for salon growth.

Horizontal salon growth

One way to grow your salon business is through horizontal growth. This means expanding your services, hiring more stylists, opening new locations, and so on. If you plan to expand horizontally, it’s important to reflect that in your branding and salon size from the outset.

For example, if you plan to have a bigger salon and offer more services, invest in the necessary equipment and create a marketing plan to attract new customers. This way, you can make sure your salon is ready for growth when the time comes.

Vertical salon growth

Another way to grow your salon is through vertical growth. This means specializing in a select number of services and aiming to become the best in the industry. By focusing on quality over quantity, you can charge higher prices and keep payroll, supplies, and overhead costs to a minimum.

To achieve vertical growth, you need to build a strong reputation and brand identity around your specialty services. This might include targeted marketing campaigns, creating a niche social media presence, and offering exceptional customer service.

No matter which growth path you choose, it’s important to research your options, plan carefully and stay up-to-date with the regulations in your area. Continuously review your efforts and tweak your strategies as needed to ensure your salon continues to grow and succeed.

We hope this article has been helpful in guiding you through the steps of opening and growing a successful hair salon business. Remember to stay dedicated, maintain a strong brand, and always put your customers first. Good luck in your journey to success!

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• Sample Business Plans
• Beauty Salon & Fitness

Hair Salon Business Plan

Cutting and styling hair is an art not many are adept with.

After all, it takes more than artistic talent to give cuts that suit different hair. And if you are someone who has this talent, then you might have thought of having your hair salon business.

Having your hair salon business is possible and just requires two things for success. That is, skills to make people’s hair look pretty and a hair salon business plan .

Here are a few facts about the hair salon industry and steps to setting up your business. But at the same time, the prospect of having a business is overwhelming to many of us. You don’t need to worry, though!

Industry Overview

The spa and salon market stood at an impressive value of $138.9 billion in 2020, and as people continue to return to salons after the pandemic, the market’s value is expected to rise at a higher rate.

The rise in personal care and beauty spending is one of the major reasons for the growth of the hair salon industry.

Apart from beauty purposes, hair salon businesses have also seen a rise due to the increasing demand for hair care services.

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Things to Consider Before Writing a Hair Salon Business Plan

Find your usp.

A hair salon gives several services including cutting, coloring, styling, and hair care. Apart from that, your customer service, prices, and a lot of other things make your services a package deal for your customers.

But out of everything that makes up your business, you have to do something that you do differently or better than your competitors. This would help you stand out and become memorable to your customers.

Build your client base

Although this is an ongoing process, getting a head start with building your client base is essential. Know what sources you can use to reach out to your clients, what makes them pick a hair salon service, what makes them come back, and so on.

Knowing these things gives you an edge over businesses that dive right in without an action plan.

Find the ideal location

The ideal business location will be both accessible and functional. A good location for a hair salon would be either located in a busy neighborhood or a place that people frequent between home and work.

A good location makes accessing your services more convenient and hence more in demand.

Design your salon for both form and function

Although, it is advisable to hire a designer to design your salon in a way that is functional and also looks appealing. But cash crunches, startup costs, and whatnot might leave lesser scope for a designer in your budget.

In such a case, you can design your salon with the help of catalogs, outside inspiration, and your creativity to make it as functional as possible and build upon and redesign it as your business grows.

Writing Your Business Plan

If you are planning to start a new hair salon business, the first thing you will need is a business plan. Use our sample hair salon business plan created using upmetrics business plan software to start writing your business plan in no time.

Before you start writing a business plan for your new hair salon business, spend as much time as you can reading through some samples of hair and beauty salon business plans .

Reading some sample business plans will give you a good idea of what you’re aiming for and also it will show you the different sections that different entrepreneurs include and the language they use to write about themselves and their business plans.

We have created this sample hair salon business plan for you to get a good idea about how perfect a hair salon business plan should look and what details you will need to include in your stunning business plan.

Hair Salon Business Plan Outline

This is the standard hair salon business plan outline which will cover all important sections that you should include in your business plan.

• Business Overview
• Our Services
• Goals and Objectives
• Keys to Success
• Katarzyna Doe
• Legal Business Description
• Hiring Plan
• Products & Services
• Market Trends
• Target Market
• Market Analysis
• Customer Profile
• Competitive Summary
• Competitive Advantage
• Sales & Marketing Strategy
• Sources of Income
• Sales Forecast
• Pricing Strategy
• Publicity and Advertising Strategy
• Personnel Plan
• Startup Costs
• Important Assumptions
• Profit & Loss Projections
• Balance Sheet Projections
• Cashflow Statement
• Business Ratios

After  getting started with Upmetrics , you can copy this hair salon business plan example into your business plan and modify the required information and download your hair salon business plan pdf and doc file. It’s the fastest and easiest way to start writing your business plan.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

Download a sample hair salon business plan

Need help writing your business plan from scratch? Here you go;  download our free hair salon business plan pdf  to start.

It’s a modern business plan template specifically designed for your hair salon business. Use the example business plan as a guide for writing your own.

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Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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• February 27th, 2024
• Business Tips

How to Write a Hair Salon Business Plan

Are you thinking about opening your own hair salon? Or maybe you already have a salon and are thinking about opening another location?  

Well, when it comes to opening a new salon business, knowing how to write a hair salon business plan can make or break your success. The good news is—we’re here to help. 

In this article, we’ll go over the ins and outs of creating a hair salon business plan. This includes everything from market analysis and financial projections to your goals for the future. Having a plan will help you obtain funding and stay on track as you grow. 

Let’s get started. 

Do I Really Need to Write a Business Plan for a Hair Salon?  

You wouldn’t drive from San Francisco to Boston without either a GPS or a map, right? So, you shouldn’t run a business without a plan either. 

A hair salon business plan is a roadmap for your beauty business. Whether you have two chairs or 200, it’s essential for your ongoing success. 

In fact, opening or expanding a business has a lot more at stake than a drive across the country. You may have saved or taken out a loan to start your salon. And you likely have employees or contractors who are dependent on your business sense, too. 

A business plan gets you organized when you’re first starting out or opening a new location. Plus, it keeps you on track as you grow. You can reach or exceed your goals, but you must know what they are first. And you need to have a detailed set of strategies to use along the way. 

Let’s go back to our road trip metaphor.  

Suppose you want to get from California to Massachusetts. First, you figure out how many miles or hours the journey will take. Then, you divide that by how many miles or hours you can comfortably drive in a day. That’s how many days it will take. Finally, you plan overnight stops along the way for each of those days to make the drive doable. 

A salon business plan isn’t much different. You probably have goals for things like: 

• How much gross income you want to bring in 
• How much profit you want after overhead and labor 
• Ideal business model structure (e.g., booth rent vs. commission) 
• Services you would like to offer clients 
• Places where you’d like to open additional salons 

Without a specific business plan for how to make them happen, those are just pie-in-the-sky dreams. You need a more granular approach to turn them into a reality. 

For instance, how much money do you need to make each month to reach your desired net profits? If that’s how much you need to make each month, what do you need to make daily, assuming you’re open five days per week? How many chairs do you need to have? At what capacity do you need to operate? 

Not to mention, you’ll almost certainly need a formal business plan if you want to get financing for your salon. Salon equipment and real estate can be quite expensive. A bank may loan you money to get set up, but only if they see you have done your homework first. 

Lenders don’t want to back a business that is more likely to fail than to succeed. And new hair salons have an average success rate of 50% in the first three years of operation. 

That means half of those businesses will fail. Most fail not because of a lack of talent or ambition but because the owner doesn’t know how to properly run a business. You can be the best hairstylist in the world. But if you consider things like business accounting and marketing, you will likely lose more money than you are bringing in every month. 

Do you want to be in the 50% of new salons that thrive? Keep reading to learn the step-by-step method of developing a business plan for your salon. 

RELATED ARTICLE:  

Owning a Hair Salon: Your Launch Guide  

How to Write a Hair Salon Business Plan: Step by Step  

Below you’ll find information on each section commonly included in a business plan. But first, here’s a tip to help you make the most of these categories. 

Use the SMART method for setting goals. What are SMART goals ? They are: 

• Specific – highly detailed, not vague 
• Measurable – able to be quantified with hard numbers and actionable items mapped out to achieve the goal you’ve set 
• Achievable – doable within the framework of your business model 
• Relevant – related to your salon today, not somewhere else or too far in the future 
• Time-bound – tied to specific dates for end goals and milestones 

Any time you set a long-term or short-term goal, ask, “Is it SMART?” If not, dig deeper to get the details you need to make it work. 

Executive Summary  

Think of the executive summary as the introduction to your salon business plan. It gives brief information about: 

• The purpose of your salon and who it will serve 
• Your business objectives (offer something novel, expansion, etc.) 
• How your salon will be different from your competitors 
• Why you think the business will perform well 

For instance, you could talk about how you plan to open a salon in a busy urban area to cater to downtown employees. Your client demographic is primarily white-collar workers aged 25 to 45. 

Your unique selling proposition , or USP, is what makes the salon special. Say it’s that it will offer 20 and 50-minute appointments to fit into standard lunch breaks. Additionally, you’ll have 10-minute appointments for fast services during coffee breaks. 

Customers can get a quick trim on their fringe or ends. Beard and mustache trims are another rapid service you will offer. Everything can be booked and paid for online to streamline the process and get customers in and out in a jiffy. 

Maybe after work hours, your salon will be open for more traditional appointments. And you’ll have more quickie services available for businesspeople going out at night. They can get an updo, blowout, or style refresh before a date. On Fridays, you’ll offer manicure services too. 

In your business plan, you’d want to outline howyour USP will help your salon be successful. For our example, you might say you believe the salon will do well financially because of three factors: 

• The area is currently underserved by hair salons. 
• You are catering to the needs of businesspeople in your locale. 
• You hired an experienced stylist who’s bringing their clients with them. 

You don’t have to get into a ton of detail yet. This is a proverbial bird’s eye view of your business proposition. You could, however, outline a rough roadmap of how you envision your business will start and where you see it going in one year and five years. 

For instance, perhaps you plan to start with one location and 10 chairs. Five years from now, you want to open two additional locations. At that time, you will add new services like brow waxing and makeup consultations. 

You can mention market analysis in this section, too. Market analysis looks at competition and consumer needs in your niche. However, there will be a place later in your business plan to address this in more detail. 

Remember, your executive summary is an investor or lender’s first impression of your salon business. Therefore, you want to make it shine. 

Company Description  

This section goes into detail about the structure of your company. How long have you been in business? Who are the owners and managers? 

You’ll also want to review how many employees or contractors you plan to have. Will they be employed under W2 status, or will they contract as 1099 workers? 

Will hair stylists pay you a fee for the use of a chair? Will your salon take a cut of their fees? How will tipping be structured? 

For example: 

• Our salon is a startup organization that is not yet in business. 
• It is co-owned by two stylists who participate 50-50 in leadership. 
• There will be 10 chairs in total in the salon. 
• Eight contract stylists will be working as 1099 independent contractors. 
• Contract stylists will pay a monthly chair rental fee and a percentage of their billables to the owners. 
• All tips will go to the employed stylists, with a percentage going to a shampoo assistant. 
• Contract stylists make a commission on products sold in the salon. 
• You will also have two paid receptionists who will be W2 employees. 

You will go into more detail about financials in the Services and Pricing section. But this section should give readers an understanding of the basics of your planned salon operations. 

You can also include funding or investing requests in this section. Again, you will have further opportunity to dive into financials later. But touching on what you need to open or expand gets readers primed as they go through the next four sections. 

Market Analysis  

The market analysis section of your business plan is another area where you can wow readers and make your salon stand out. It answers the question, “Why you, and why now?” 

Remember, you don’t want to fit in with all the other salons in the area. Instead, you want yours to be unique . 

Your hair salon might be unique because of its business model, like the hypothetical one described in the executive summary. Or it could be you have a string of well-known stylists. 

Perhaps you offer extra luxury services and product lines. Maybe you offer great prices. It could be the whole vibe of your salon that’s one of a kind. Maybe it’s a retro nod to the ‘70s or a high-tech glimpse into the future. 

You don’t want to pitch your salon with a kitchen sink-style of features. After all, when you appeal to everyone, you really appeal to no one. But you can list several unique attributes that will give you a competitive market edge. 

In this section, you’ll show what the current market is like in your location. How many other salons are within a mile or two? Who do they cater to? Is there a gap you can fill to capture more market share? 

Be realistic. If everyone who comes through your door is on a tight budget, you can’t offer $300 color jobs. You need to match your services to your demographics. 

If you’ve ever sold a real estate property, you’ve done something similar to a business market analysis. You or your agent prepare “comps” or comparables. The comps show how your property is special, while reviewing what the rest of the area has to offer. 

Whether your salon is brand new or you’re opening a new location for your existing salon business, you may need to conduct market research. You can do this on your own or hire a consultant to do it for you. 

The more populated the area in which you operate, the more complicated market research is likely to be. If you’re in a suburb or rural community, there may only be a few hair salons to compete with. 

Don’t forget to include how your USP and ability to fill a need relates to industry trends. Let’s use the example above. There is a current national trend towards more online conveniences for salon customers. So, offering online payments and booking is going to help you stay at the front of the curve. 

Also, employees are feeling busier than ever these days. They struggle with work-life balance. And many are returning to the office after working remotely for several years. 

Your salon leverages this trend as well by providing stress-free quick appointments that fit into work breaks. Workers can get their hair done over their lunch hour and make better use of their personal time after work. 

If you have an existing business that you’re expanding, you can survey your clientele. Maybe you’re going to a second location because it’s underserved. Or perhaps you’re adding more services because that’s what clients want.  

It’s great to be able to give objective data that says there’s a need for your services. 

Hair Salon Industry Trends for Growing Your Salon Business  

Marketing Strategy  

How do you plan to promote your new salon or additional location? That’s the focus of this section of the plan. 

Some common salon marketing methods include: 

• SEO website 
• Social media accounts 
• Paid advertising 
• Loyalty programs 
• Cross-promotion with other businesses 
• Flyers in area office buildings 
• Bulk mailings with coupons 
• Free makeovers 
• Local news editorial coverage 
• Online review platforms 

An SEO (search engine optimized) website is a great place to start promoting your business. You can add other components later. An optimized website is set up to rank higher on search engines like Google and Bing. 

How do you improve a website’s SEO? 

• Use keywords related to your exact services that clients would search for when looking for a hair salon. 
• Be sure to mention your location multiple times on the website, including your state and local landmarks. 
• Add a blog for value-added content with links to authoritative sources. 
• Get your salon mentioned on other websites and in social media mentions. 

This section overlaps with your market analysis. You’ll be using your unique selling proposition to focus marketing campaigns. Every marketing effort is an opportunity to promote what makes your salon stand out. 

Talk about how you plan to cement the two cornerstones of a healthy salon business: 

• Repeat customers who book appointments regularly 
• New customers who keep things fresh and balance natural attrition 

How to Design and Roll Out a Beauty Salon Rewards Program  

Management and Organization  

Here’s where you can go into more detail about your salon’s company structure and staff payment plan. You can include elements like credentials here, particularly if you or a manager have a business background or education. 

Don’t simply list how you plan to pay workers. Explain why this is best for your salon business’s long-term financial health. 

Are you and any other owners taking a salary? What corporate structure are you using (LLC, S corp, etc.)? Your state may determine how you want to set this up.  

Speaking with an accountant can clarify questions for you, especially about taxes. 

Services and Pricing  

This section of your hair salon business plan outlines the meat and potatoes of what your salon will offer. It is essentially a menu of all the services and treatments you provide. It also includes prices for each. 

You can mention why you chose the pricing model you did. For example, if you’re serving affluent clients in a resort area, you can justify charging a little more. Or you might do group pricing because you serve a lot of bridal parties. 

Don’t forget to add any products you plan to sell. Why is carrying these items beneficial to your business? 

Financial Projections  

Financial projections are the nuts and bolts that lenders want to see. They’ll also keep you on the right path as you grow your salon. 

You’ve already outlined your services and pricing. Now, it’s time to do the math and calculate what that means in terms of income. 

Answer these questions first: 

• What do you expect your salon to gross (total income) in a year? 
• What are your overhead expenses (rent/mortgage, staff, utilities, wholesale supplies, etc.)? 
• What portion of your expenses are due to payroll? 
• Do you have to make capital purchases for equipment? Will these be paid with a lump sum, financing, or rental payments? 
• What is the net profit you expect (gross income minus overhead and expenses)? 
• Where do you predict expenses or income will change over the next few years? 

You want to make your business plan financial projections look truly professional. So, break them down into these categories: 

• Sales forecast – total sales expected over the next several years 
• Expenses budget – all the costs you need to operate 
• Profit and loss (P&L) statement – a 12-month summary of revenue versus expenses 
• Cash flow statement – how cash moves in and out of your business, including monthly payments 
• Projected balance sheet – items that aren’t in your P&L, like interest debt, equity, and other factors that affect the net worth of your business 
• Break-even analysis – what you need to earn (at least) to make your expenses and start turning a profit 

A certified public accountant (CPA) can help you put together this part of your business plan for a reasonable fee. It’s well worth it if it helps you obtain investors or bank funding. 

How You Can Start Writing a Hair Salon Business Plan Right Now  

Ready to get started on your hair salon business plan today? Use these tips right away to make it both convincing to lenders and helpful as an internal roadmap: 

• Write a mission statement. To write a solid executive summary, it’s helpful to first compose a mission statement. This delves into why you want to open your business in the first place. Some people include this in their executive summary. Others keep it private and use it as an inspirational jumping-off point. 
• Include milestones in your financial projections. These are points where you will examine progress and see if you’re on target. Be ready to course correct if you’re not hitting your goals. 
• Compile an appendix. It’s a good idea to include an appendix in your business plan with copies of extra materials. This is an ideal place to include photos of your salon, certifications, licenses, and financial documents. It will keep everything organized for you and make you look more professional to lenders. 
• Enlist help. If you have questions about certain sections of your salon business plan, consider consulting with the appropriate professionals. Paying a one-time fee to an attorney or CPA can save you money and headaches down the line. You could even consider hiring a business manager to deal with office and financial issues. 
• Research your competition. If you’re not sure what services to offer or how you stand out, do some in-person recon. Visit competitor salons and check out influencers on social media. How can you align with service gaps and trends to make the most of your business? 
• Explore salon management software. Salon management software can save you a lot of time and make your job a lot easier. For instance, you can use it to quickly and easily generate reports to keep a pulse on your performance. It’ll also help you with other tasks related to your financial success. The best salon management software can automate appointments, keep track of inventory, and assist with marketing. 

Learn How to Manage a Hair Salon Business with SalonBiz  

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Salon amenities show that your business is willing to go above and beyond to treat your clients. It provides them with experience outside of the services they’re paying for.

Transform your salon waiting area into an amazing experience for guests. Discover salon waiting area ideas to turn this spot into one that creates loyal and lifelong customers.

Explore salon shampoo back bar ideas. This area can become one that’s functional for stylists and eye-catching to customers. Get inspired by these examples and transform your shampoo back bar.

Organization is the key to any business. This is especially true in the beauty services industry. There are many appointments, supplies, and services to account for in a hair salon.

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Hair Salon Business Plan Template & Guide

Written by Dave Lavinsky

Hair Salon Business Plan

Over the past 20+ years, we have helped over 5,000 entrepreneurs and salon owners create business plans to start and grow their hair salons. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a hair salon business plan template step-by-step so you can create your plan today.

Download our Ultimate Salon Business Plan Template here >

What is a Hair Salon Business Plan?

A successful salon business plan provides a snapshot of your salon as it stands today, and lays out your growth plan for the next five years. It explains your business objectives and goals as the salon owner and your strategy for reaching them. It also requires you to conduct market research to support your plans. Your business plan is the roadmap to your salon’s success and growth.  

Why Do You Need a Business Plan for a Hair Salon?

If you’re looking to start a salon or grow your existing salon you need a business plan. A successful business plan will help you raise funding, if needed, and plan out the salon’s growth in order to improve your chances of success. Your business plan is a living document that should be updated annually as your company grows and changes.  

Sources of Funding for Hair Salon Owners

With regards to funding, the main sources of funding for a salon business include bank loans and angel investors. With regards to bank loans, lending institutions will want to review your salon business plan and gain confidence that you will be able to repay your business loan payments including interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable. But they will want to see a professional business plan. Such a plan will give them the confidence that you can successfully and professionally operate a salon business.

The second most common form of funding for a salon is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding or, like a bank, they will give you a loan.  

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How to write a business plan for your salon.

A hair salon business plan outline should include the 10 sections as follows:

Executive Summary

Company overview, industry analysis, customer analysis, competitive analysis, marketing plan, operations plan, management team, financial plan.

Your executive summary details an introduction to your salon business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of hair salon you are operating and the status; for example, are you a startup, do you have a hair salon with existing clients and revenues that you would like to grow, or are you operating a chain of hair salons.

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the hair salon industry. Discuss the type of hair salon you are operating. Detail your direct competitors. Give an overview of your target market. Provide a snapshot of your hair salon’s marketing strategies. Identify the key members of your team. And offer an overview of your financial plan.  

In your company description, you will detail the type of hair salon you are operating.

For example, you might operate one of the following types:

• Hair salon focusing strictly on hair cuts and hair styling
• Hair salon offering other spa services or skin care services
• Hair salon offering products
• Combination of the above types

In addition to explaining the type of hair salon you operate, the Company Analysis section of your business plan needs to provide background on your business.

Include answers to question such as:

• When and why did you start your hair salon business?
• What is your business model?
• What is your mission statement?
• What milestones have you achieved to date? Milestones could include sales goals you’ve reached, new store openings, etc.
• Your legal structure. Are you incorporated as an S-Corp? A Limited Liability Company? A sole proprietorship? Explain your legal structure here.

In your industry analysis, you need to provide an overview of the hair salon business.

While this may seem unnecessary, it serves multiple purposes.

First, researching the hair salon industry educates you. It helps you understand the market in which you are operating.

Secondly, a thorough market analysis can improve your strategy particularly if your research identifies market trends. For example, if there was a trend towards a new type of hair or hair service, it would be helpful to ensure your plan included offering such services.

The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the hair salon industry research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your hair salon business plan:

• How big is the hair salon business (in dollars)?
• Is the market declining or increasing?
• Who are the key competitors in the market?
• Who are the key suppliers in the market?
• What trends are affecting the industry?
• What is the industry’s growth forecast over the next 5 – 10 years?
• What is the relevant market size? That is, how big is the potential market for your hair salon. You can extrapolate such as figure by assessing the size of the market in the entire country and then applying that figure to your local population.

The customer analysis section of your hair salon plan must detail the local clients you serve and/or expect to serve.

The following are examples of customer segments: college students, sports enthusiasts, soccer moms, techies, teens, baby boomers, etc.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of hair salon you operate. Clearly baby boomers would want a different atmosphere, pricing and product options, and would respond to different marketing efforts than teens.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve. Because most salons primarily serve customers living in their same city or town, such demographic information is easy to find on government websites.

Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.

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Your competitive analysis should identify your indirect and direct competitors and then focus on the latter.

Direct competitors are other hair salons in the local community.

Indirect competitors are other options that customers have to purchase from that aren’t direct competitors. This includes other local businesses that sell products such as hair dye, hair treatments, or styling products. You need to mention such competition to show you understand that not everyone in your target market frequents a hair salon on a regular basis or at all.

With regards to direct competition, you want to detail the other local businesses with which you compete. Most likely, your direct competitors will be hair salons located close to your location.

For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:

• What types of customers do they serve?
• What salon services do they offer?
• What products do they offer?
• What is their pricing (premium, low, etc.)?
• What are they good at?
• What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to stand outside your competitors’ locations and ask customers as they leave what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

• Will you provide superior hair salon services?
• Will you provide superior hair salon products?
• Will you provide specialized services that your competitors don’t offer?
• Will you make it easier or faster for customers to acquire your products?
• Will you provide exceptional customer service?
• Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.  

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a hair salon business plan, your marketing plan should include the following:

In the product section you should reiterate the type of hair salon that you documented in your Company Analysis. Then, detail the specific hair services you will be offering.

Document your pricing strategy and how they compare to your competitors. Essentially in the product and price sub-sections of your marketing plan, you are presenting the service menu you will offer and their prices.

Place refers to the location of your hair salon. Document your location and mention how the location will impact your success. For example, is your hair salon located next to a heavily populated office building, or gym, etc. Discuss how your location might provide a steady stream of new clients.

Here you will document how you will drive new clients to your location(s) and the loyalty programs you will implement to keep your loyal clientele. The following are some promotional methods you might consider:

• Making your hair salon’s front store extra appealing to attract passing customers
• Developing and marketing your website
• Social media marketing (advertising and organic posts)
• Advertising in local papers and magazines
• Reaching out to local bloggers and websites
• Partnerships with local organizations
• Local radio advertising
• Banner ads at local venues

Also think about your hair salon’s Unique Selling Proposition (USP), which should answer why customers should choose your salon over others. Make sure your USP is reflected in your marketing.  

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your hair salon such as serving customers, inventory management, keeping the hair salon clean, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to serve your 1,000th customer, or when you hope to reach $X in sales. It could also be when you expect to hire your Xth employee or launch a new salon.  

To demonstrate your hair salon’s ability to succeed as a business, a strong salon management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.

Ideally you and/or your team members have direct experience in the hair salon business. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in salons and/or successfully running retail and small businesses.  

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you serve 20 customers per day or 50? Will your average price point be $50 or $100? How much revenue do you expect to make each year? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets

While balance sheets include much information, to simplify them to the key items you need to know about, balance sheets show your assets and liabilities. For instance, if you spend $100,000 on building out your hair salon, that will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $100.000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement

Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most salon owners don’t realize is that you can turn a profit but run out of money and go bankrupt. For example, let’s say a company approached you with a massive $100,000 hair salon contract to provide hair salon services to their employees. Let’s assume the contract would cost you $50,000 to fulfill. Well, in most cases, you would have to pay that $50,000 now for supplies, employee salaries, etc. But let’s say the company didn’t pay you for 180 days. During that 180 day period, you could run out of money.

In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a hair salon:

• Location build-out including design fees, construction, etc.
• Cost of equipment like chairs, washing equipment, etc.
• Payroll or salaries paid to staff
• Business insurance
• Licenses and permits
• Legal expenses

Financial planning is about getting the numbers right to create a compelling and valuable hair salon business plan and, therefore, increases the chances of a successful launch of your new salon. The “right” type of numbers depends on who you are targeting the plan at. Consider the different needs of investors and lenders and what they want out of the financial section of your business plan.

Right for Investors

The numbers that investors want to see are realistic, but conservative, projections that still show a return that they feel is required by the level of risk they will take on by investing and by the opportunities to use their money elsewhere that they will give up (their opportunity risk). You lower the risk that investors feel they are taking on by showing proof of the management team’s experience, well-thought out marketing and operations plans, a quantifiable customer target market with demonstrated needs that the products and services of your salon will fulfill, and a competitive landscape which presents an opportunity for your business to steal some market share from the current players. Within the financial section, you support this lower risk by explaining your future revenue assumptions in a way that shows a gradual build up to profitability and a rationale for how the number of customers you expect is reasonable.

For some businesses, the return required by investors is only fully realized in the event of the sale of the business. However, an investor in a salon with modest dreams of being a local leader and an ongoing concern may show significant investor return through dividends paid out as the cash becomes available. For most investors, the return must be significantly greater than that of a safe investment like certificates of deposit or treasury bonds or mutual funds. Investors personally interested in your success (like family or friends) may not require as high of a annual return, while professional investors will be serious about a high return.

Right for Lenders

Lenders are most interested in the safe return of their principal with interest over time, and will not care so much about the absolute value of the company, beyond the value of its assets which can be seized and liquidated in the case of a loan default. To show lenders the numbers they want to see, the financial plan shows the business becoming cash flow positive relatively quickly to allow for these payments to begin, and for this situation to continue throughout the years after that point. Lenders will be interested in the value of assets that are being purchased (such as equipment, salon inventory, and real estate) and cautious lenders will want these assets to act as collateral and to limit their loan to this amount, unless personal assets are also offered as collateral. Lenders will share many of the same concerns as investors – that the rest of the plan is well-thought out, that financial assumptions are reasonable and conservative, and that the management team has the experience to lead.  

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your hair salon’s design blueprint or location lease.  

Free Business Plan Template for a Hair Salon

You can download our hair salon business plan pdf . Our sample hair salon business plan would also be a helpful resource for writing your own business plan.  

Hair Salon Business Plan Summary

Putting together a business plan for your hair salon will improve your company’s chances of success. The process of developing your plan will help you better understand your local market, your competition, and your customers. You will also gain a marketing strategy to better attract and serve customers, an operations plan to focus your efforts, and financial projections that give you business goals to strive for and keep your company focused.  

Additional Resources for Starting a Hair Salon

• How to Start a Hair Salon Business
• Essential Tips for Opening a Hair Salon
• Do I Need a Cosmetology License to Open a Salon?
• Hair Salons: Facts about Formaldehyde in Hair Products
• What Type of Salon & Spa Should You Open?

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.

Click here to see how our professional business plan consultants can create your business plan for you.

Other Helpful Free Business Plan Resources

Salon Business Plan Ultimate Guide + Free Example

July 6, 2023

Adam Hoeksema

When it comes to starting a salon, you may be eager to dive into the world of beauty and make your clients look and feel their best. However, it's important to recognize that writing a business plan is a crucial step, especially when seeking support from potential lenders and investors.

While it may not be the most exciting task, a well-prepared business plan demonstrates your commitment and professionalism, making it an essential tool to secure the necessary funding and outline your salon's path to success. It's also important to make sure your business plan and financial projections are realistic and inline with some industry averages for salons .

This guide is going to help you walk through the following:

• Salon Business Plan Outline
• Conducting Market Research for Your Salon Business Plan
• Creating Financial Projections for Your Salon Business Plan

Example Salon Business Plan

Salon business plan faqs.

With that in mind as the path forward, let’s dive in. 

What Should be Included in a Salon Business Plan?

A salon business plan must convincingly show to prospective financiers and loan providers why clients would opt for your salon, why you or your crew are best suited to oversee the salon operations, and how the financial projection to ensure a favorable financial return on their investment. Here is a thorough breakdown of our complimentary salon business plan template .

‍ Salon Business Plan Outline ‍

I Executive Summary

II Market Analysis

III Business Description

IV Marketing and Sales Strategies

V Menu of Services and Pricing

VI Operational Plan

VII Financial Plan

• Startup Costs
• Projected Financial Summary
• Annual Sales, Gross Profit and Net Profit
• Key Financial Ratios
• Watch how to create financial projections for your very own salon
• Income Statement
• Balance Sheet
• Cash Flow Statement

VIII Conclusion

How to Conduct Market Research for a Salon Business Plan

At the core of any salon business plan is market research. It's necessary to understand your position within the market and establish that there is a substantial demand for your unique salon concept, location, and pricing tiers. You can delve more into our salon market research approach here, but essentially, you're seeking to understand your competitors, obtain insights on potential customer traffic, select an ideal location, and foresee any seasonal trends that may affect your business. Below are some tools and tactics for executing market research for your planned salon.

What Will be the Cost to Advertise my Salon?

We suggest using Google Keyword Planner to help you identify which keywords to promote to attract customers to your salon's website. The tool also offers an estimate of the cost per click for advertising using various keywords, as demonstrated below:

What Keywords are Customers Searching for?

We use both Google Keyword Planner and Ahrefs to identify which keywords are driving traffic to your competitors' websites. For example, you can run a report on a competitor's site to identify the keywords they rank for and the amount of organic traffic each keyword garners. This data can guide your SEO initiatives.

How Seasonal are Salons?

We like to utilize Google Trends to determine how seasonal your salon concept might be. For instance, you can observe below that the search volume for “salons near me” in the United States is somewhat seasonal in nature.  June is consistently the peak, with the late fall tending to be the low point of the season

How Many Customers Visit my Competitors Each Month?

Finally, we recommend pulling foot traffic reports on your competitors to understand the average number of customers they typically serve in their salons. You can see an example below showing the number of visits per month for a specific location:

Ultimately, your potential customer base's size for your salon will be a crucial assumption underpinning your financial projections. Thus, grasping how many customers frequent your competitors can help you predict potential traffic to your salon.

How to Create Financial Projections for a Restaurant Business Plan

With comprehensive market research completed, it's time to develop financial projections for your salon. Our salon financial projection templates rely on various factors, such as client traffic and service capacity, to form the basis of your revenue projections. While some salons may have limitations on the number of available appointments, others may be constrained by the time it takes to deliver services effectively. Creating accurate financial projections is crucial to showcase your salon's potential to repay loans and provide a return on investment to potential stakeholders. To achieve this, consider the following steps:

• Estimate startup costs for your salon
• Forecast revenue (employee based, booth rent, salon suite, hybrid)
• Project supplies and labor cost
• Estimate your operating expenses like rent and utilities
• Calculate how much investor or loan capital you will need to open

Our salon projection template will guide you through this process and help format your projections in a standard format that meets the requirements of potential investors or lenders. Typically, startup salon projections should include an integrated income statement, balance sheet, and cash flow forecast.

By following these steps and utilizing our salon projection templates, you'll have a solid foundation for presenting your salon's financial outlook and demonstrating its potential profitability.

Below you will find the text of our salon business plan. You can also access a downloadable Google Doc version of this salon business plan template here , enabling you to make personalized edits. Additionally, we have created a helpful video walkthrough that guides you through the process of tailoring the business plan to suit your salon concept.

Table of Contents

Executive Summary

Our salon, called "Lux Beauty Spa," is a full-service beauty and wellness center that aims to provide a luxurious and rejuvenating experience for all of our clients. Our mission is to enhance the beauty and well-being of each individual that walks through our doors, through personalized and expert services. 

We will offer a wide range of services including hair styling, nail care, skin treatments, massage therapy, and more.

Our target market is women and men of all ages who are looking for a high-quality beauty and wellness experience. We will be located in a high-end shopping center in downtown to attract our affluent target market. Our projected start-up costs are $200,000, and we anticipate reaching profitability within two years.

Market Analysis

The beauty and wellness industry is growing, with a projected global market size of $716.3 billion by 2027. In our target market, there is a growing demand for high-end beauty and wellness experiences, and a trend towards holistic and natural approaches to self-care.

Our main competitors include established high-end salons and spa centers in the area, but we differentiate ourselves through our focus on personalization and luxury. We will also offer services and products not commonly found in traditional salons, such as custom skincare treatments and exclusive hair care lines.

Business Description

Lux Beauty Spa will be a limited liability company (LLC), owned and operated by two experienced beauty professionals. We will be fully licensed and insured, and comply with all state and local regulations.

Services Offered:

Lux Beauty Spa will offer a comprehensive range of beauty and wellness services, including:

• Hair styling: We will have a team of skilled hair stylists offering cuts, coloring, and styling services for all hair types. We will use high-quality hair care products and tools, including well-known and exclusive brands.
• Nail care: Our nail technicians will offer a variety of nail services including manicures, pedicures, and gel polishes.
• Skin treatments: Our licensed estheticians will offer custom skincare treatments, including facials, peels, and microdermabrasion. We will use only the finest and natural skincare products.
• Massage therapy: Our licensed massage therapists will offer a range of massage services, including Swedish, deep tissue, and hot stone.

Marketing and Sales Strategies

To attract and retain clients, we will employ several marketing and sales strategies, including:

• Online advertising: We will create a professional and attractive website, and use targeted online advertising to reach our target market.
• Promotions and discounts: We will offer promotions and discounts to new clients and for special occasions, such as birthdays and holidays.
• Loyalty program: We will reward our regular clients with exclusive discounts and special offers.
• Referral program: We will incentivize our clients to refer their friends and family to Lux Beauty Spa with discounts and bonuses.

Menu of Services and Pricing

Our menu of services and pricing will be competitive with other high-end salons in the area. We will offer packages and memberships for regular clients, as well as a la carte services for those who prefer one-time treatments. Our prices will reflect the luxury and quality of our services and products.

Operational Plan

Lux Beauty Spa will operate 7 days a week, from 9 AM to 9 PM. Our staffing will include a manager, hair stylists, nail technicians, estheticians, massage therapists, and a receptionist. We will use scheduling software to manage appointments and ensure efficient use of our resources. Our inventory management will include regular monitoring of product levels and restocking as needed. We will also keep detailed financial records and regularly review our performance to make necessary adjustments to our operations.

Financial Plan

Our projected start-up costs are $200,000, which will cover rent, equipment and supplies, marketing, and salaries. Our operating expenses will include rent, utilities, supplies, salaries, and marketing. Our sales revenue will come from services and product sales, and we anticipate a steady growth in revenue over the next two years.

Our financial projections show we’ll break even in year 3 and grow profit considerably after that.

All of the unique financial projections you see below were generated using ProjectionHub’s Salon  financial projection template s. Use PH20BP to enjoy a 20% discount on the template. 

Startup Costs:

Projected Financial Summary:

Annual Sales, Gross Profit and Net Profit:

Key Financial Ratios:

Watch how to create financial projections for your very own salon:

Income Statement:

Balance Sheet:

Cash Flow Statement:

Lux Beauty Spa is poised to become a leading luxury beauty and wellness center, offering personalized and expert services to our affluent target market. With a strong focus on quality and luxury, we are confident in our ability to achieve profitability and success in the beauty and wellness industry.

What should I include in a salon business plan?

A salon business plan should include sections on executive summary, company description, market analysis, target market and services, pricing and packages, marketing and promotion strategies, location and facilities, staffing and management, and financial projections.

How can I determine the ideal location for my salon?

When selecting a location for your salon, consider factors such as foot traffic, visibility, accessibility, competition in the area, parking availability, and proximity to your target market. A location near residential areas or commercial districts with a high demand for salon services can be ideal.

How can I estimate financial projections for my salon?

Financial projections for a salon should include estimates for start-up costs, monthly expenses (such as rent, utilities, products, and employee salaries), projected revenue based on service pricing and expected clientele, and a break-even analysis to determine when your salon will become profitable.

About the Author

Adam is the Co-founder of ProjectionHub which helps entrepreneurs create financial projections for potential investors, lenders and internal business planning. Since 2012, over 50,000 entrepreneurs from around the world have used ProjectionHub to help create financial projections.

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BUSINESS STRATEGIES

How to create a hair salon business plan

• Nirit Braun
• Sep 12, 2023

When setting up your own hair salon, one of the most important initial steps is crafting a well-thought-out and detailed business plan. Consider it your styling guide for success in the hair and beauty industry. This document isn't just about the right cut and color it's your roadmap to achieving your salon's objectives, whether you specialize in trendy haircuts, stunning makeovers or relaxing spa treatments.

Your hair salon business plan will help you navigate the ever-evolving world of starting a beauty business , helping you start a business with confidence.

Ready to kick things off? Begin making a website with Wix .

Benefits of a hair salon business plan

A well-structured business plan is vital for a number of reasons. Below is a breakdown of the top benefits for you to bear in mind.

Getting investors interested: Your well-thought-out business plan isn't just for show; it's what can help you woo investors and raise money for your business . It shows them you've got a plan, clear goals and a vision for profitability. In other words, it makes them more likely to open their wallets and invest in your salon dream.

Figuring out what you need: Writing a business plan forces you to think about everything you'll need to run your salon smoothly—from supplies and equipment to staff. By the end, you'll have a good handle on your startup and operating costs. Don't forget to factor into this the cost of opening a business, starting an LLC for example.

Drawing up your game plan : Think of your business plan as your playbook for success. It lays out the steps to make your salon thrive, helps you set achievable goals and gives you a roadmap for reaching them. Plus, it's got your back when it comes to handling challenges, with strategies to tackle whatever comes your way.

Outshining the competition : While creating your plan, you'll dive deep into your salon's market and competitors. That research helps you understand your customers, spot industry trends and figure out how to stand out from the competition.

Running a smooth ship : Your business plan isn't just about the big picture—it's also about the nitty-gritty details. It helps you plan things like where your salon should be located, how it should look, what equipment to get and how to manage your staff effectively.

Playing it safe: In the financial part of your plan, you'll lay out your salon's expected income, expenses, and profits. This not only helps you see if your business will make money but also prepares you to make smart financial decisions. Plus, it's your insurance against unexpected bumps in the road.

Read more about how to start a service business .

6 steps to creating a hair salon business plan

Let's dissect the key components of a hair salon business plan:

Executive summary

Business and domain names

Market analysis and research

Operations plan

Marketing and advertising plan

Financial plan

01. Executive summary

The executive summary is a concise overview of your entire hair salon business plan. It provides a snapshot of your business concept, strategies, financial projections and objectives. While it appears at the beginning of the plan, it's often written after the rest of the plan is complete to ensure all crucial details are included.

To write a clear executive summary for a hair salon business be sure to introduce your hair salon, detailing the services you offer and the unique value proposition that sets you apart in the industry. Then clearly state your short-term and long-term business goals. These should be specific, measurable, achievable, relevant and time-bound (SMART).

Remember to highlight what differentiates your hair salon from competitors, whether it's your exceptional stylists, innovative services or a specific niche you cater to. Als, provide a brief overview of the target market you're aiming to serve and the market demand for your services.

Offer a glimpse of your projected financials, including expected revenue, expenses and profitability within a specified timeframe. Additionally, include how much investment you're seeking or have secured to launch and grow your hair salon business.

Example of an executive summary for a hair salon business

"EleganceTresses Salon is poised to transform the hair care experience in the city. With a mission to blend style and artistry, we offer a range of premium hairstyling and beauty services that cater to a diverse clientele. Our SMART objectives include becoming the go-to destination for modern hair transformations, increasing customer retention by 20% in the first year and expanding our salon footprint to two additional locations within three years. What sets us apart is our team of master stylists, led by industry veterans with over 15 years of combined experience. We're seeking an initial investment of $250,000 to support salon setup, staff training and salon marketing initiatives . Our projected revenue of $500,000 in the first year, coupled with strategic partnerships, positions EleganceTresses Salon for rapid growth and profitability."

02. Business and domain names

Naming your business is crucial, as it will become an integral part of your brand identity. A memorable and relevant name enhances brand recognition and establishes trust with your customers. A business name generator can provide inspiration for a beauty business name that resonates with your salon's concept and values.

For more inspiration:

Nail business names

Beauty business name ideas

Selecting and registering a suitable domain name is equally important. Ensure your domain name aligns with your salon's name or services as this consistency makes it easier for customers to find you online.

Opt for a domain name that is simple to spell and remember and avoid using complex words or excessive characters. As part of this, if feasible, incorporate relevant keywords in your domain name to improve search engine visibility. Finally, check domain registration platforms to confirm your chosen domain name's availability.

Learn more about registering your business , which you’ll want to do once you’ve landed on a business name and a legal structure.

03. Market analysis and research

The market analysis and research section of a business plan is essential for understanding the competitive landscape and consumer preferences in the hair salon industry. This information forms the foundation of your business strategy.

Define your target audience based on demographics, lifestyles and hair care preferences.

Evaluate competing salons' offerings, pricing, location and customer reviews to identify gaps and opportunities.

Research industry trends, emerging styles and customer demands to align your beauty business ideas and services with current market expectations.

04. Operations plan

The operations plan details the practical aspects of running your hair salon. It covers location selection, salon design, equipment procurement and staffing.

Location: Describe how you'll choose a high-traffic, accessible location that caters to your target audience.

Interior design: Highlight your salon's ambiance, decor and layout to create a welcoming and appealing environment.

Equipment: Specify the types of equipment and products you'll use to provide top-notch services.

Staffing: Detail your staffing needs, including hairstylists, receptionists and other support roles and outline their qualifications.

Operation plans example:

"Our salon will be strategically situated in a bustling shopping district, attracting both locals and tourists. The interior design will exude contemporary elegance, featuring comfortable seating, modern decor and ample natural light. We'll invest in premium hairstyling equipment and a range of high-quality products to ensure exceptional services. Our staff will consist of experienced stylists specializing in diverse hair types and styles."

05. Marketing and advertising plan

The marketing and advertising plan outlines how you'll promote your hair salon, attract customers and build brand recognition. This can include marketing campaigns tailored to different customer segments, such as bridal packages, seasonal promotions or loyalty programs. Be sure to highlight how you'll utilize social media, a business website and online advertising to engage with customers and showcase your services.

Example of a marketing plan

"Our marketing strategy entails a mix of social media engagement and influencer partnerships. We'll leverage platforms like Instagram and Pinterest to showcase before-and-after transformations, share hairstyling tips and engage with our audience. Collaborating with local boutiques for joint promotions will enhance our visibility while offering special packages for bridal parties will establish us as a bridal hair expert."

Need some help building up your brand? Get inspiration from these beauty logo ideas and use Wix’s free logo maker to create your own, plus check out this guide on how to make a barber logo .

06. Financial plan

The financial plan section of your business plan provides insights into the financial aspects of your hair salon business. It will need to include a rundown of your initial expenses such as salon setup, equipment purchase, interior decor and initial marketing efforts.

After this, you'll need to estimate projected revenue based on services offered, pricing and anticipated customer volume. At the same time, document ongoing costs, including rent, utilities, staffing salaries, product replenishment and marketing expenditures.

Then lay out the initial investment you'll need and potential sources of funding, such as personal savings, loans or investors.

It’s also important to project when your hair salon is expected to become profitable based on revenue growth and expense management.

Example of a financial plan

"Startup costs are estimated at $120,000, covering salon setup, equipment and marketing campaigns. We project an annual revenue of $300,000 within the first year, with a steady increase of 15% in subsequent years. Operating expenses, including rent, staff salaries and product inventory, are projected at $180,000 annually. We anticipate becoming profitable by the end of Year 2."

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Still trying to decide on the best type of business to pursue? Check out the guides below and read about more service business ideas .

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Beauty Salon Business Plan PDF Example

• February 28, 2024
• Business Plan

Creating a comprehensive business plan is crucial for launching and running a successful beauty salon. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your salon’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a beauty salon business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the beauty industry, this guide, complete with a business plan example, lays the groundwork for turning your beauty salon concept into reality. Let’s dive in!

Our beauty salon business plan is designed with clarity and thoroughness, addressing all crucial aspects needed for a comprehensive business plan. It details the salon’s operations, strategic approach, market environment, competitive landscape, management team, and financial projections.

• Executive Summary : Provides a snapshot of your beauty salon’s business, market environment, management, and financial overview.
• Salon & Location : Describes the beauty salon’s ambiance, equipment, and unique features.
• Treatments & Pricing : Details the types of beauty treatments and services offered, along with pricing.
• Key Stats : Includes industry size , growth rates, and significant statistics relevant to the beauty salon sector.
• Key Trends : Highlights current market trends affecting the beauty industry (customer preferences, technological advancements, etc.).
• Key Competitors : Analyzes main competitors in the area and your salon’s competitive edge.
• SWOT : Analyzes strengths, weaknesses, opportunities, and threats.
• Marketing Plan : Describes promotional strategies to draw in and keep clients.
• Timeline : Lays out key milestones and objectives from launch to expansion, covering at least the first 12 months.
• Management : Introduces the team behind the salon, detailing their roles and contributions to the salon’s success.
• Financial Plan : Projects the salon’s 5-year financial performance, including expected revenue and expenses, and outlines funding expectations.

Beauty Salon Business Plan

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary serves as an introduction to your beauty salon’s business plan, providing a succinct overview of your salon and the variety of beauty services it offers. This section should outline your salon’s market positioning, the comprehensive range of beauty treatments and services provided, its location, size, and a brief on operational practices.

Additionally, this section should assess how your beauty salon positions itself within the local market. It should enumerate the number of direct competitors in the vicinity, identify these competitors, and emphasize your salon’s unique selling points that set it apart.

It’s also essential to include details about the management and co-founding team, specifying their roles and how they contribute to the salon’s operational and strategic goals. Lastly, a summary of the financial projections, highlighting expected revenue and profit margins over a 5-year period, should be incorporated to outline the financial plan of your beauty salon.

Make sure to cover here _ Business Overview _ Market Overview _ Management Team _ Financial Plan

Dive deeper into Executive Summary

Business Overview

For a Beauty Salon, the Business Overview section is structured into 2 slides:

Salon & Location Illustrate the ambiance and layout of your beauty salon, highlighting features that create a welcoming and luxurious experience for clients. Discuss the salon’s strategic location, emphasizing how its accessibility and the surrounding area contribute to attracting your target market . Mention the benefits of your chosen location, such as high foot traffic or nearby complementary businesses.

Treatments & Pricing Explain the variety of beauty treatments and services your salon offers, including facials, manicures/pedicures, makeup, waxing, and more specialized services. Provide an overview of your pricing structure , showing how it aligns with the quality of services and the expectations of your clientele. Also, introduce any special offers, memberships, or loyalty programs designed to retain customers and enhance their experience at your salon.

Make sure to cover here _ Salon & Location _ Treatments & Pricing

Market Overview

In the Market Overview of your beauty salon business plan, initially address the overall size of the beauty salon industry and its prospects for growth. This provides a foundational understanding of the market’s scale and potential for expansion.

Next, explore recent trends within the industry, such as the increasing consumer preference for holistic beauty treatments, the demand for eco-friendly and natural beauty products, and the rise of personalized beauty services. For example, point out the growing popularity of bespoke skincare routines and treatments that cater to individual skin concerns, as well as the shift towards sustainable practices in beauty care.

Following this, delve into the competitive landscape, which spans from luxury beauty salons to more affordable options, including the burgeoning market for niche services like vegan or organic beauty treatments. For example, describe how your salon differentiates itself with a unique service offering , expertise in specific beauty treatments, or a commitment to sustainability. This section will help you to clearly define the demand for beauty salon services, outline the competition, and identify your salon’s unique place in the market.

Make sure to cover here _ Industry size & growth _ Key competitors _ Key market trends

Dive deeper into Key competitors

First, undertake a SWOT analysis for the beauty salon, identifying Strengths (such as a diverse range of beauty treatments and experienced beauticians), Weaknesses (like substantial ongoing costs or intense local competition), Opportunities (for instance, an increasing interest in self-care and beauty services), and Threats (such as economic downturns impacting discretionary spending).

Next, craft a marketing strategy that describes ways to attract and retain customers through targeted advertising, special introductory offers, active engagement on social media platforms, and participation in community events.

Finally, map out a comprehensive timeline that highlights essential milestones for the beauty salon’s launch, promotional campaigns, customer growth, and plans for scaling the business, ensuring that the salon advances with strategic intent and defined objectives.

Make sure to cover here _ SWOT _ Marketing Plan _ Timeline

Dive deeper into SWOT

Dive deeper into Marketing Plan

The Management section focuses on the beauty salon’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the salon towards its financial and operational goals.

For your beauty salon business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

Financial Plan

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your beauty salon’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your beauty salon business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

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How to Create a Business Plan for Your Salon: Your Beauty Blueprint to Success

Dive into a step-by-step guide on creating a business plan tailored for salon success. From mission clarity to financial foresight, unlock strategies to turn your beauty passion into a flourishing enterprise.

Introduction

In the world of beauty, creativity, passion, and skill often take center stage. Yet, behind every successful salon, there lies a robust and strategic plan, paving the way for its triumph. Creating a business plan is much like designing a new hairstyle or look. It involves envisioning what you want to achieve, understanding the tools and techniques required, and meticulously crafting until the final result mirrors the initial inspiration. For aspiring salon owners or those looking to elevate their existing business, a comprehensive plan isn't just a page of numbers and forecasts. It's the beauty blueprint to success, detailing every facet of the venture, from its foundational mission to the intricate details of daily operations. Dive in as we explore how to build this blueprint, ensuring your salon doesn't just survive, but thrives in the dynamic beauty industry.

Understanding Your Salon’s Mission and Vision

Every successful business venture begins with a clear sense of purpose, and for salons, this sense of purpose is captured in its mission and vision statements. Think of these statements as the guiding lights for your salon's journey, helping you stay on course during both calm and stormy seas.

1. Defining Your Salon's Purpose and Long-term Goals:

Mission Statement : This succinctly captures why your salon exists and its core purpose. It's about the present – what you do, who you serve, and what value you bring. Ask yourself: What promise are you making to your clients every time they walk through your doors?

Vision Statement : This paints a picture of your desired future. It's aspirational and gives everyone in the salon a clear idea of what success looks like in the long run. Imagine where you want your salon to be in 5, 10, or even 20 years. What impact will you have made? What legacy will you leave behind?

2. Crafting These Statements:

Creating mission and vision statements might seem daunting, but it's an introspective process. Consider your passions, what motivated you to start or run a salon, and the kind of difference you hope to make in the beauty industry.

For a deep dive into crafting compelling mission statements and to draw inspiration from successful salons, visit Noona's comprehensive guide on salon mission statements . They offer invaluable insights and examples that can guide you in molding statements that resonate with your brand's essence.

In conclusion, understanding and articulating your salon's mission and vision is paramount. They don't just serve as internal guiding posts but also communicate to clients, staff, and stakeholders what your salon truly stands for. As you proceed with your business blueprint, refer back to these statements to ensure each decision aligns with your salon's core purpose and aspirational goals.

Market Analysis

Before setting the cornerstone of your salon, understanding the market you're stepping into is pivotal. A comprehensive market analysis allows you to understand the beauty industry's landscape, your target customers, and your potential competitors. This ensures that when you open your salon doors, you're not just another business in the community but a highly anticipated addition.

1. Understanding the Beauty Industry Landscape:

Trends and Forecasts : The beauty industry is dynamic, with new trends emerging rapidly. From eco-friendly products to tech-driven beauty solutions, keeping an eye on these changes ensures your salon stays relevant and ahead of the curve.

Regulations and Licensing : Ensure you're aware of any industry-specific regulations, certification needs, and licensing that could impact your operations.

2. Identifying Your Target Market:

Demographics : Understand the age, gender, income, and other demographic factors of your ideal customer. Is your salon catering to young professionals, teenagers, or perhaps a mature audience?

Psychographics and Buying Behaviors : Dive deeper to know your audience's lifestyle, preferences, and buying habits. Do they prefer organic products? Are they looking for a luxurious experience or quick service solutions?

3. Analyzing Your Competition:

Strengths and Weaknesses : List out local salons and understand what they're doing right and where they might be falling short. This can provide insights into potential market gaps you can fill.

Market Gaps : Once you understand your competition's offerings, identify what's missing. Is there a service, product, or experience that customers desire but isn't available? That's your opportunity to shine.

4. Location, Location, Location :

While understanding your market is key, finding the perfect spot to set up shop is equally vital. The location of your salon plays a massive role in its accessibility, visibility, and overall success. Consider factors such as foot traffic, nearby businesses, ease of parking, and the demographic of the local population. For a comprehensive guide on selecting the ideal location for your salon, delve into Noona's expert advice on choosing a salon location .

To wrap up, a thorough market analysis doesn't just give you a view of the playing field but also offers the insights needed to strategize your moves. With a deep understanding of the industry, your customers, and your competitors, you're poised to make decisions that position your salon for long-term success.

Services and Pricing

In the beauty world, the range of services you offer and their associated pricing can make or break your salon's reputation and profitability. Offering the right mix of services, matched with a pricing strategy that reflects your brand's value and the market's willingness to pay, is a delicate balance to strike.

1. Choosing the Right Services to Offer:

Diverse Portfolio : Depending on your target market, your salon might benefit from offering a wide range of services from haircuts, coloring, and treatments to nails, skincare, and even massage.

Specialization : On the other hand, some salons thrive by specializing in a few niche services, becoming the go-to spot for those particular treatments.

Continuous Innovation : The beauty industry is ever-evolving. Regularly review and update your services to keep up with trends and customer demands.

2. Pricing Strategy:

Competitive Pricing : Analyze what other salons in your area charge for similar services. While you don't want to drastically undercut or overshoot these figures, understanding the market rate is crucial.

Value-based Pricing : Instead of just setting prices based on competition, consider the value you're offering. If you provide a luxurious experience or use high-end products, your prices should reflect that.

Discount Strategies : Occasional promotions or loyalty discounts can attract and retain customers. However, ensure they don't undermine your brand's perceived value.

3. Upselling and Cross-selling:

Maximizing Customer Value : Once a customer is in your chair, there's potential to introduce them to other services or products. Train your staff on tactful upselling techniques to enhance the customer's experience without seeming pushy.

Package Deals : Offering bundled services at a slightly reduced rate can encourage clients to indulge in more treatments, increasing your per-visit revenue.

4. Crafting Your Salon Price List :

Your price list isn't just a utility; it's a reflection of your brand. Its design, clarity, and presentation can enhance the client's perception of your salon. For innovative ideas on creating an appealing and effective price list, explore Noona's detailed guide on hair salon price list ideas .

In conclusion, the services you offer and their corresponding prices play a significant role in defining your salon's brand image and profitability. By aligning them with market demands and your salon's unique value proposition, you pave the way for both satisfied customers and a thriving business.

Marketing and Promotion Strategies

At the heart of every flourishing salon is not just talented stylists and impeccable services, but also an effective marketing strategy. In a world increasingly swayed by digital impressions and word-of-mouth, how you market and promote your salon can be the determining factor in its success. Let's dive into crafting a strategy that makes your salon the talk of the town.

1. Branding:

Establishing Your Salon’s Identity : Your brand is more than just your logo or color scheme. It's the experience you promise, the values you uphold, and the story you tell. Everything from your salon's interior design to staff uniforms should resonate with your brand's essence.

Unique Selling Proposition (USP) : Determine what sets your salon apart. Is it a unique treatment you offer? An exceptional training program for your stylists? Ensure your USP is highlighted in all marketing materials.

2. Digital Marketing:

Website : In today's digital age, a salon without a website is like a shop without a signboard. Ensure your website is visually appealing, mobile-friendly, and contains essential information like services, prices, contact details, and customer reviews.

Social Media : Platforms like Instagram, Facebook, and Pinterest are ideal for showcasing your work. Regularly post before-and-after photos, salon events, promotions, and client testimonials.

Email Marketing : Build a list of client emails to send out newsletters, promotions, or updates. This not only drives repeat business but also helps in fostering a community.

3. Offline Marketing:

Local Advertising : Consider placing ads in local newspapers, magazines, or radio stations. This type of advertising can effectively reach your local target demographic.

Partnerships : Collaborate with local businesses, such as boutiques, gyms, or cafes, for mutual promotions. This could be in the form of cross-promotions, discounts, or sponsored events.

Event Sponsorships : Participate in or sponsor local events, beauty pageants, or workshops. This boosts brand visibility and positions your salon as an active member of the community.

4. Customer Engagement and Loyalty Programs:

Referral Programs : Encourage your existing clients to refer friends and family by offering them incentives or discounts.

Loyalty Cards : Introduce a loyalty card system where frequent visits or purchases earn points, which can be redeemed for services or products.

Feedback Channels : Create channels for clients to offer feedback, whether it's through comment cards, online reviews, or suggestion boxes. This not only provides valuable insights but also makes clients feel valued and heard.

5. Seasonal Promotions and Campaigns:

Themed Packages : Offer packages or discounts during festive seasons, holidays, or even less busy months to boost sales.

Collaborative Campaigns : Partner with beauty product brands to run promotional campaigns, offering bundled products with select services.

In wrapping up, marketing is not just about visibility but also about creating connections. By building a coherent brand, engaging with your audience both online and offline, and offering value through various promotions, your salon is poised not just to attract clients but to turn them into loyal advocates.

Operational Plan

An operational plan serves as the engine room of your salon, ensuring that all parts work in harmony to produce the desired outcome: unparalleled service, satisfied customers, and a successful business. This plan encompasses everything from the location of your salon to the daily management of services and resources.

1. Choosing a Salon Location:

Strategic Location : Your salon's location can greatly influence foot traffic, brand visibility, and accessibility. A location in a bustling area or near complementary businesses (like clothing boutiques or coffee shops) might be ideal.

Demographics : It's essential to ensure that the local population matches your target clientele in terms of age, income, and beauty needs.

Facility Needs : Think about size, layout, and infrastructure. Does it allow for future expansion? Does it resonate with your brand's aesthetic? For a more in-depth guide on pinpointing the perfect location, delve into Noona's expert insights on choosing a salon location .

2. Design and Ambiance:

Interior Layout : Create a space that's both functional for staff and inviting for clients. This includes considering the placement of styling stations, waiting areas, and retail sections.

Brand Consistency : The design should echo your brand's identity, from colors to decor elements, ensuring clients get a cohesive experience.

3. Staffing:

Hiring : Recruit not just based on skills but also on alignment with your salon's culture and ethos.

Training : Regular training ensures that your team is updated with the latest industry techniques and customer service standards.

Retention Strategies : Implement measures to retain top talent, such as competitive compensation, a positive work environment, and growth opportunities.

4. Equipment and Supplies:

Sourcing Quality Products : Whether it's haircare products or skincare treatments, ensure you're using reputable and high-quality brands. This not only affects service quality but also your salon's reputation.

Inventory Management : Implement a system to track product usage, reorder stocks in time, and monitor expiration dates.

5. Daily Operations and Management:

Booking and Scheduling : Use digital tools or salon management software to handle appointments, reduce overbookings, and ensure timely services.

Hygiene and Sanitation : Especially in the post-pandemic world, maintaining impeccable hygiene standards is non-negotiable. Regularly clean and sanitize equipment, stations, and communal areas.

Customer Experience Enhancement : From a warm welcome to post-service follow-ups, ensure every client's journey in your salon is memorable.

For actionable strategies and insights on managing your salon's daily operations, refer to Noona's comprehensive guide on running a successful hair salon .

In conclusion, while vision and strategy are essential, it's the operational plan that brings them to life. Ensuring every aspect of your salon's operations runs smoothly is crucial to creating a lasting and favorable impression in the minds of clients and ensuring your venture thrives.

Financial Projections and Strategy

Your salon’s financial strategy is the backbone of your business plan. While beauty and aesthetics are at the forefront of the industry, the underlying financial projections and strategies are what keep the business thriving. Addressing the cost implications, forecasting profits, and being prepared for various financial scenarios can mean the difference between a thriving salon and one that struggles.

1. Start-Up Costs:

Location and Lease : Depending on your chosen location, the cost of leasing or buying a space can vary significantly. Factor in any modifications or renovations required to tailor the space to your salon's needs.

Equipment and Supplies : From hairdressing chairs to specialized equipment, the initial set-up costs can be substantial. For a detailed breakdown of essential equipment costs, explore Noona's guide on salon equipment essentials .

Licenses and Permits : Ensure you've budgeted for any required business licenses, permits, and certifications.

Initial Inventory : Stocking up on products for treatments and retail. For an exhaustive list and deep dive into the expenses of setting up a salon, refer to Noona's comprehensive breakdown on the cost to open a hair salon .

2. Operational Costs:

Salaries and Wages : This includes compensation for all staff, from stylists to receptionists.

Utilities : Regular expenses like electricity, water, internet, and other utilities.

Maintenance and Repairs : Regular maintenance of equipment and the facility.

Marketing and Advertising : Budget for ongoing promotional activities and campaigns.

3. Revenue Projections:

Service Revenue : Projected income from all the services offered. Consider factors like average price, number of bookings per day, seasonality, etc.

Product Sales : If you retail beauty products, estimate potential earnings from these sales.

Additional Income Streams : This could be from workshops, training sessions, or renting out space.

4. Break-Even Analysis:

Identify the point where your salon's total revenues will cover total costs. Knowing this will provide clarity on when your salon will start turning a profit.

5. Financial Safety Nets:

Contingency Fund : Always have a fund for unforeseen circumstances or emergencies.

Insurance : Invest in comprehensive insurance to protect against potential liabilities or damages.

6. Growth Investments:

Reinvestment Strategy : Determine a portion of profits to reinvest in the business, be it for expansion, training, or introducing new services.

Financial Aids and Loans : Understand the options available should you need financial support to scale or improve operations.

In conclusion, the beauty of your salon won’t just depend on the services you offer or the ambiance you create but also on the sound financial strategies you put in place. With thorough financial planning, you can ensure that your salon not only offers exceptional beauty services but also stands on solid financial ground.

Implementation Timeline

Laying out a strategic business plan is just the first step. Bringing your vision to life requires actionable steps, all tied to a realistic and coherent timeline. Here, we'll detail a typical implementation timeline for setting up a salon, ensuring you hit key milestones efficiently and systematically.

1. Research and Planning (Weeks 1-4):

Market Analysis : Understand your target clientele, study competitors, and identify market gaps.

Financial Forecasting : Detail your budget, source initial capital, and lay out your financial projections.

2. Location and Infrastructure (Weeks 5-12):

Location Scouting : Identify and finalize the right salon location. For insights, refer to the previously linked article on choosing a salon location.

Lease and Licenses : Secure the necessary permissions, licenses, and finalize your lease.

Infrastructure Planning : Layout design, interior decoration, and ambiance creation.

3. Procurement (Weeks 9-16):

Equipment and Supplies : Purchase necessary equipment and set up the salon space. Dive into Noona's guide on salon equipment essentials for detailed insights.

Initial Inventory : Stock up on products and supplies you'll need for both treatments and retail.

4. Hiring and Training (Weeks 13-20):

Job Listings and Interviews : Post job vacancies, conduct interviews, and finalize your core team. For best hiring practices and insights, consult Noona's salon hiring guide .

Training and Orientation : Ensure your team is aligned with the salon's mission and vision. Conduct training sessions to standardize services and customer interactions.

5. Marketing and Launch Preparation (Weeks 17-24):

Branding and Website Development : Create your salon's visual identity, and establish an online presence.

Promotions and Advertisements : Announce your salon's upcoming launch. Consider offering early-bird specials or opening discounts to attract initial clientele.

Final Touches : Ensure the salon space is set up, all equipment is tested, and inventory is organized.

6. Grand Opening (Week 25):

Launch Event : Consider hosting an event or open house. Invite potential clients, local businesses, and media.

Service Trials : Offer complimentary or discounted services on the launch day to give potential clients a taste of your expertise.

7. Review and Iterate (Weeks 26-52):

Feedback Collection : Actively collect feedback from your initial customers.

Performance Analysis : Review financial and operational performance. Identify areas of improvement and growth opportunities.

Continuous Marketing Efforts : Keep the momentum going with regular marketing campaigns, partnerships, and promotions.

To sum up, a clear, structured timeline not only ensures that you stay on track but also aids in visualizing the trajectory of your salon's setup and growth. By breaking down the process into actionable steps, you increase the likelihood of launching successfully and building a thriving beauty haven.

Potential Challenges and Solutions

Every business venture, including a salon, is bound to face challenges. Anticipating these obstacles and preparing solutions in advance can provide a smoother path to success. Below are some common challenges salon owners may encounter and suggested solutions for each.

1. Challenge: Intense Competition

Solution : Carve out a niche for your salon. Offer specialized services, unique experiences, or target a specific demographic that is underserved in your area. This will help differentiate your salon from competitors.

2. Challenge: Fluctuating Client Volume

Solution : Implement a loyalty program, offer off-peak discounts, or create package deals to incentivize repeat business and even out demand. Seasonal promotions can also help attract customers during quieter times.

3. Challenge: Retaining Skilled Staff

Solution : Create a positive work environment, offer competitive compensation, provide opportunities for professional growth, and maintain open communication channels. Recognition and rewards for exceptional performance can also boost morale and loyalty.

4. Challenge: Staying Updated with Industry Trends

Solution : Regularly attend industry seminars, workshops, and trade shows. Also, invest in continuous training for your staff to ensure they stay updated with the latest techniques and trends.

5. Challenge: Managing Operational Costs

Solution : Adopt efficient inventory management systems, reduce waste, and regularly review and renegotiate contracts with suppliers. Utilizing energy-efficient equipment and fixtures can also help cut down on utility costs.

6. Challenge: Negative Reviews or Feedback

Solution : Address any negative feedback promptly and professionally. Use it as an opportunity to learn, improve, and showcase your commitment to customer satisfaction. Encourage satisfied customers to leave positive reviews to balance the narrative.

7. Challenge: Regulatory and Licensing Changes

Solution : Stay informed about local and state regulations pertaining to the beauty industry. Join industry associations and subscribe to relevant newsletters to stay updated on any regulatory changes.

8. Challenge: Technology Integration and Upgrades

Solution : Allocate a budget for periodic technology updates, whether it's salon management software, booking systems, or digital marketing tools. Seek feedback from staff and customers to identify areas needing technological enhancement.

9. Challenge: Economic Downturns

Solution : Build a financial safety net or contingency fund. Diversify your service offerings to cater to different price points, ensuring you can attract a broader clientele during economic slowdowns.

10. Challenge: Health and Safety Concerns (e.g., Pandemic-related shutdowns)

Solution : Implement strict hygiene and sanitation protocols. Offer services that can be adapted to health guidelines, like at-home beauty kits or virtual beauty consultations. Stay informed on health advisories and adjust business operations accordingly.

In conclusion, while challenges are inevitable in the journey of building and running a salon, they can also serve as catalysts for growth and innovation. By anticipating potential hurdles and having strategies in place, you can navigate through them effectively, ensuring your salon's resilience and long-term success.

FAQ (Frequently Asked Questions)

1. Why is a business plan essential for my salon? A business plan serves as a roadmap, guiding you through the various stages of establishing and running your salon. It not only helps secure funding but also aids in identifying potential challenges, streamlining operations, and setting clear goals.

2. How often should I update my salon business plan? A business plan is a living document. While the foundational elements might remain consistent, it's advisable to review and update it annually. Regular updates can also be made whenever there's a significant change in the market or your business.

3. Can I start my salon without a formal business plan? While it's technically possible to start without a formal plan, it's not recommended. A business plan provides clarity, sets objectives, and helps in making informed decisions. Skipping this step can lead to unforeseen challenges and missed opportunities.

4. How can I differentiate my salon from competitors? Focus on creating a unique selling proposition (USP). Whether it's a specialized service, exceptional customer experience, or niche market focus, your USP will help you stand out. Regular market analysis and customer feedback can guide you in refining your offerings.

5. What if my financial projections aren't met? It's not uncommon for businesses to face discrepancies between projections and actuals. Regularly monitor your financials, adapt your strategies, and consider seeking advice from financial experts. It's essential to remain flexible and proactive in your approach.

6. How do I handle negative feedback or reviews? Always address negative feedback professionally and constructively. It provides an opportunity for growth and showcases your commitment to customer satisfaction. Encourage satisfied clients to share their positive experiences to balance out any negative narratives.

7. How can I ensure the health and safety of my clients, especially during uncertain times like pandemics? Stay updated with health guidelines from local and global health organizations. Implement strict sanitation protocols, train your staff, and communicate these measures clearly to your clients to ensure trust and safety.

By delving into this FAQ section, we hope to have addressed some of your burning queries. Embarking on the salon business journey is undoubtedly challenging but equally rewarding. With the right information, guidance, and determination, success is not just a possibility but a surety.

Setting up and running a successful salon is a dream that many aspire to but only a few achieve with flying colors. The journey involves not just passion for beauty and aesthetics but also a deep understanding of the business landscape, keen foresight, and meticulous planning. From conceptualizing a unique value proposition to managing the intricate financials, each step in the salon business journey is crucial.

This comprehensive guide aimed to shed light on key aspects of creating a business plan for your salon, providing insights and strategies to navigate the multifaceted world of the beauty business. By focusing on your salon's mission and vision, understanding the market, pricing your services right, crafting effective marketing strategies, managing operations smoothly, making sound financial decisions, and preparing for challenges, you're not just creating a business — you're building a legacy.

In the ever-evolving beauty industry, staying agile, being receptive to feedback, and continuously learning and adapting are the hallmarks of lasting success. With your dedication, passion, and the right strategies, your salon can not only enhance beauty but also become a beautiful success story in its own right.

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Salon Business Plan Sample

Published Feb.11, 2015

Updated Apr.24, 2024

By: Brandi Marcene

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Table of Content

Beauty salon business plan for starting your own salon service

People like feeling good about themselves, and a salon business can help them to achieve that. The Professional Association estimates the salon and spa industry contributes approximately $40 billion annually to the U.S. economy Approximately half the industry is classified as salon business offering mostly hair care services. However, entrepreneurs interested in making a beauty salon business plan have many options as to the variety and level of services offered, ranging from a beauty salon business plan to a full-service spa. Salons can be setup in innumerable ways, so the purpose of the beauty salon business plan  is to pin down the details to improve the chances of long-term success. Planning should always start with identifying the customer. There may be several customer persona’s depending on your target market, people over 50 years old are a very different market to the Gen X clients.

Executive Summary

2.1 the business.

Julia’s Salon will be a licensed and registered salon located near Brookhaven College, Atlanta. The business will be based on providing hair-cutting, styling, coloring, skincare and other services in the salon as well as by going to people’s homes.

2.2 Management

Before starting a salon, it’s essential to make a beauty salon business plan  and enlist major decisions about your start up salon. In this sample business plan for a salon, we’re providing all details of Julia’s Salon ranging from startup expenses to management structure.

The main working structure of Julia’s Salon include hairdressers, makeup artists, expert cosmetologists, and general assistants. Besides them, the beauty salon business plan will hire sales executives, accountants, and web developers.

To ensure efficient working from the first day, the salon will be making all arrangements one week before the launch. Staff will also be hired a week before because the owner of Julia’s Salon wants to assess staff herself.

2.3 Customers

Our major customers will be the young and adult men and women of our society. Besides them, senior citizens and teens are also expected to avail our services.

2.4 Business Target

Our target is to become the most renowned salon in our vicinity and to establish an average repeat customer rate of 60% by the end of the first year.

Company Summary

3.1 company owner.

Julia’s Saloon will be owned by Julia Fox. Julia is a graduate in social sciences. She has taken many courses related to works. After working for three years in Sports Clips she has gained expertise in hair care and styling.

3.2 Why the salon business is being started

Julia has always remained interested in  cosmetics works. It was due to her passion and interest in the industry that she got a job in a top company. As Julia wanted to start a salon she took several courses relevant to the field while she was in her college.

A few months ago she started exploring beauty salon business plan s and finally decided to initiate her own salon to generate profit through a business that is solely her passion. She believes that an exceptional mission statement for a salon can lead her to the success, she is looking for.

3.3 How the salon business will be started

Julia decided to rent a large ground story to convert it into a salon. For writing a beauty salon business plan , she decided to hire a marketing and financial expert.

After acquiring the required licenses and registrations, Julia will purchase the required equipment such as furniture, mirrors, cosmetic tools and accessories, hair styling tools, hair treatment products, and other things.

She has also decided to hire her staff a week before the lauch so that she can assess them and they can understand the beauty salon business plan environment and aims. To facilitate their clients, Julia’s salon will be providing services by going to their homes too. Moreover, the salon will set up a web-based system so that customers can pre-order or pay online.

Services for Customers

Before formulating a beauty salon business plan outline you must finalize which services you’ll be providing your customers because this decision of yours will be affecting the business in the long run.

The services as mentioned in Julia’s Salon business plan are given in detail here.

Our major salon service will comprise of works related to hair. However, we’ll also offer some other services as described here:

Hair Cutting: Our primary service will be cutting the hairs of people of all ages and gender. We’ll hire haircut experts so that every customer will be able to get the look of their desire.

Hair Styling & Coloring: We will hire experts who will be able to make several hairstyles according to the customer’s looks and desires. Moreover, we’ll also provide services like hair coloring, highlights, color blending, hair shadowing, etc.

Makeup Services: We will provide makeup services for parties and usual events.

Hair & Skin Care Services: Our third major service will be providing hair treatments such as Fusio-Dose and protein treatment. Moreover, we’ll also be offering services in skincare and treatment like manicures, pedicures.

Salon Marketing Analysis

Before you start a salon you must know what are objectives of a salon business plan . Generally, the aim is to satisfy your customers by enhancing their looks, and that is only possible when you have studied the market and market trends thoroughly.

Before finalizing your beauty salon business plan template, you must research on what are the traditions, norms and modern fashions that are arising in your target market. Only then you will be able to recognize customers’ demands and decide what aspects to include in you beauty salon business plan to meet the expectations of your customers.

5.1 Market Trends

Hair salons are one of those businesses that are flourishing in the market for a long time. Currently, 972,000 such businesses are running in the United States. According to the IBISWorld report, the business has seen a 1.4% growth rate over the period of the last five years. The industry is responsible for employing more than 1,352k people and has generated a revenue of $47bn in only 2019. To summarize, the salon business plan has a lot of potentials and can be extremely profitable if you plan it accurately.

5.2 Marketing Segmentation

The detailed marketing segmentation of our target audience is as follows:

Landlord Business Plan Writing

5.2.1 Young & Adults: Our first target group will be young adults between 18 and 35 years of age. The people of this age run after the latest fashions and styles. That’s why we’ll be coming up with hairstyles, coloring and makeup techniques that are popular in people of this age group.

5.2.2 Senior Citizens: Our second target group comprises of citizens above 35 years of age. Since such people are interested in acquiring decent looks while following their norms and traditions thus we’ll be carrying out research to provide services of their interest.

5.2.3 Teens & Kids: Our third target group is expected to be accompanied by other target groups. For this group, we’ll be providing hairstyles and services that are liked by children and teens.

5.3 Business Target

• To balance startup expenses by earned profits by the end of the first fifteen months
• To achieve the net profit margin of $10k per month by the end of the first year
• To maintain customer repeat rate of 60% by the end of the first year
• To maintain an average rating of 4.6 by the end of the first year

5.4 Product Pricing

Our prices will be in the same ranges as that of our competitors, however, to get introduced to a wide group of people we’ll be offering several discounts in the first three months.

Marketing Strategy

Excellent preparation of business plan ….

Excellent preparation of business plan reporting and timing of all deadlines. I am extremely satisfied with the services. Thank Alex for all your excellent work.

This section should describe how you are going to find your ideal client and make sure they become aware of your products and services. Once you have found your clients, how will you attract and retain them? If you have a bricks-and-mortar business, is the location good for your type of clients? Does your ideal client read traditional printed advertising or are they more focussed on digital marketing? If online is important, describe the process your clients go through to make a purchase. Is it quick and easy? Starting a beauty salon business plan  will help you to focus on these points.

In this salon marketing business plan for a salon  sample we are providing the competitive aspects of Julia’s Salon as well as the advertising schemes, the salon will be employing to attract more and more customers.

6.1 Competitive Analysis

Our biggest competitive advantage is our top-class service. We’ll use high-quality material with extreme care to serve our customers. Secondly, our staff is expert in their respective domains. Besides, we’re highly customer-care oriented and we’ll always be ready to do unlimited modifications to satisfy our customers. Lastly, we’re providing home services because senior citizens usually want to have such tasks done at their own homes.

6.2 Sales Strategy

• We’ll ensure a strong web presence
• We’ll advertise us through Facebook and Instagram
• We’ll get featured in magazines and local newspapers
• We’ll offer a 20% discount on hair treatment services for the first month

6.3 Sales Monthly

6.4 Sales Yearly

6.5 Sales Forecast

Personnel plan

To get an idea of how much you’ll need to spend on your business plan for a salon , you must first create a list of salon equipment with price and a list showing your employees, their job responsibilities and salaries.

7.1 Company Staff

Julia will manage the salon herself and hire the following people

• 1 Accountant to take financial records
• 1 Sales Executive to carry out the company’s sales business strategy plan
• 5 Hairdressers/Hairstylists/ Hair Coloring Experts to do clients hair
• 2 Makeup Artists to do client’s makeover
• 1 Cosmetologist to do with hair and skin treatments
• 2 Manicure/Pedicure Specialist
• 4 General Assistants to carry out general tasks
• 2 Drivers to provide transport
• 1 Web Developer to manage company’s sites
• 1 Customer Representative to receive customers

Financial Plan

The last step before starting your salon is to craft a detailed map showing and analyzing the investment group business plan for salon, costs of equipment, payrolls, taxes, and other expenses. A financial plan for a salon business plan must contain all the financial statements, details of projected profit and loss and measures to achieve estimated profits.

We’re providing a sample of Julia’s financial plan for anyone who wants to benefit. However, it is highly recommended to seek help from a financial advisor to have an accurate financial plan according to your figures.

8.1 Important Assumptions

8.2 Brake-even Analysis

8.3 Projected Profit and Loss

8.3.1 profit monthly.

8.3.2 Profit Yearly

8.3.3 Gross Margin Monthly

8.3.4 Gross Margin Yearly

8.4 Projected Cash Flow

Download Beauty Salon Business Plan Sample in pdf

OGS capital professional writers specialized also in themes such as eyelash extension business plan , business plan for a nail salon , nail polish business plan , tanning salons business plan , tattoo shop business plan , laser hair removal business plan and many others.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

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How to Make a Salon Business Plan (With Template)

Salon Secrets

Published March 25, 2022

Bear in mind that you are not required to find a sample salon business plan identical to yours. The details will vary whether you’re establishing a fancy, full-service salon in a big city or a community barbershop. However, the fundamentals of the strategy will remain the same.

Are you preparing a hair salon business plan to get loans? Is your primary objective to set a clear path for growth? You’ll want to modify and tailor it to fit your type of business in either case.

Naturally, you’ll go into your personal resources and solicit funds from family and friends, but if that capital is insufficient, consider a loan from your local bank or the Small Business Administration (SBA). However, to qualify for a loan, you’ll need a good business plan.

What is a Business Plan

A business plan is a formal description of the business’s goals. It explains why the goals are attainable and describe a strategy for achieving them. Additionally, this document offers background information on the individual, team, or organization working to accomplish those goals. Along with being necessary for obtaining a business loan, a good business plan provides the framework for operating or improving your organization and establishing a long-term strategy. 

Each salon is unique. If, for example, you rent space to independent hairstylists rather than hiring employees, your salon business plan template will be different. Do your financial forecasts and conduct enough market study to have a solid strategy for success.

What to Include in a Salon Business Plan

Your hair salon business plan does not have to be hundreds of pages long; keep it as brief as possible. You’ll almost certainly want to include the following sections:

• Introduction
• Business Target
• Why the salon will start
• How the salon will start
• Products and services
• Market trends
• Marketing segmentation
• Business target
• Products and services pricing
• Competitive analysis
• Sales strategy
• Monthly sales
• Yearly sales
• Sales forecast
• Assumptions
• Break-even analysis
• Yearly profit
• Gross monthly margin
• Gross yearly margin
• Projected cash flow
• Projected balance sheet
• Business ratios

One of the characteristics that differentiate a salon business plan from other service-based company plans is the possibility of offering a variety of products and services.

Perhaps you’ll sell hair care products, beard oil, cosmetics, and other beauty products in addition to haircuts, manicures, and massages. If that is the case, include those ideas for promoting and selling products to customers in order to maximize the value of each appointment you book.

Things to Consider

Always include both qualitative and quantitative objectives in each section. Indicate any potential barriers along the process and how you intend to overcome them. Keep your information brief and, whenever possible and/or suitable, incorporate visuals. As the last point, don’t be embarrassed to ask for assistance. (Related: Salon Selfie Wall Ideas For Instaworthy Client Photos )

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Fact Checked By Experts

Our team of internal experts diligently fact-checked this content to ensure accuracy and reliability. Find detailed information about the rigorous editorial standards we uphold for our website.

About The Author

Krizzia Paolyn is a professional blogger whose work has reached millions of people worldwide. She has a bachelors degree in Psychology and a passion for beauty trends.

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Here is a free business plan sample for a hair salon business.

Have you been envisioning opening your own hair salon but feel overwhelmed about where to start?

In the content that follows, we will present to you a comprehensive sample business plan tailored for a hair salon.

As an aspiring entrepreneur, you're likely aware that a meticulously formulated business plan is crucial to your venture's success. It serves as a roadmap, outlining your vision, objectives, and the strategies you'll employ to thrive in the competitive beauty industry.

To expedite the creation of an effective plan, you're invited to utilize our hair salon business plan template. Additionally, our team of experts is available to review and refine your plan at no extra cost.

How to draft a great business plan for your hair salon business?

A good business plan for a hair salon must reflect the unique aspects of the beauty industry and the personalized services offered by salons.

To start, it is crucial to provide a comprehensive overview of the beauty market. This includes current statistics and identifying emerging trends in the industry, as illustrated in our hair salon business plan template .

Your business plan should articulate your vision clearly. Define your target clientele (e.g., neighborhood residents, professionals, students), and establish the distinctive positioning of your hair salon (upscale, budget-friendly, specializing in certain hair treatments or styles).

Market analysis is a key component. This requires a thorough understanding of local competitors, industry trends, and customer demands and expectations.

For a hair salon, particular emphasis should be placed on the services you intend to offer. Describe your range of services - haircuts, coloring, styling, treatments - and discuss how they cater to the preferences and needs of your target market.

The operational plan is vital. It should outline the location of your salon, the design of the service area, supplier relationships for products and equipment, and the service delivery process.

In a hair salon business plan, it is important to highlight the expertise of your stylists, the quality of hair care products used, and adherence to health and safety standards.

Then, delve into your marketing and sales strategy. How do you plan to attract new clients and keep them coming back? Consider promotional tactics, customer loyalty programs, and potential additional services (like selling hair care products or offering beauty treatments).

Implementing digital strategies, such as a professional website or an active social media presence, is increasingly important for customer engagement and retention.

The financial section is another critical element. This should include your startup costs, revenue projections, ongoing expenses, and the point at which you expect to break even.

In the hair salon business, service pricing can vary widely, so it's essential to have a detailed financial plan and a solid understanding of your cost structure. For assistance, refer to our financial forecast for a hair salon .

Compared to other business plans, a hair salon's plan must pay special attention to factors such as the stylist recruitment and training, the customer experience, appointment scheduling systems, and the potential for product sales.

A well-crafted business plan will not only help you clarify your strategy and vision but also attract investors or secure loans.

Lenders and investors are looking for comprehensive market analysis, realistic financial projections, and a clear plan for the day-to-day operations of the salon.

By presenting a thorough and substantiated plan, you showcase your professionalism and dedication to the success of your hair salon.

To achieve these goals while saving time, you can complete our hair salon business plan template .

A free example of business plan for a hair salon business

Here, we will provide a concise and illustrative example of a business plan for a specific project.

This example aims to provide an overview of the essential components of a business plan. It is important to note that this version is only a summary. As it stands, this business plan is not sufficiently developed to support a profitability strategy or convince a bank to provide financing.

To be effective, the business plan should be significantly more detailed, including up-to-date market data, more persuasive arguments, a thorough market study, a three-year action plan, as well as detailed financial tables such as a projected income statement, projected balance sheet, cash flow budget, and break-even analysis.

All these elements have been thoroughly included by our experts in the business plan template they have designed for a hair salon .

Here, we will follow the same structure as in our business plan template.

Market Opportunity

Market data and figures.

The hair salon industry is a robust and essential part of the beauty sector.

Recent estimates value the global hair care market at over 85 billion dollars, with projections indicating continued growth driven by an increasing interest in personal grooming and appearance.

In the United States alone, there are over 80,000 hair salons, generating a combined annual revenue of approximately 20 billion dollars. This underscores the hair salon industry's substantial contribution to the economy and its role in daily American life.

These figures highlight the hair salon industry's resilience and its potential for sustained economic impact.

The hair salon industry is witnessing several emerging trends that are shaping the future of personal grooming services.

There is a growing demand for natural and organic hair care products, as consumers become more health-conscious and seek to avoid harsh chemicals.

Customization of hair treatments and services is becoming increasingly popular, with clients looking for personalized experiences that cater to their specific hair types and preferences.

Technological advancements, such as augmented reality hair color apps and online booking systems, are enhancing the customer experience by offering convenience and innovation.

Sustainability is also a significant trend, with salons adopting eco-friendly practices, such as recycling hair clippings and reducing water usage.

Additionally, the rise of social media as a marketing tool allows salons to showcase their work and connect with clients on platforms where visual appeal is paramount.

These trends indicate a shift towards more personalized, health-conscious, and technologically integrated hair care experiences.

Success Factors

Several factors contribute to the success of a hair salon.

High-quality service is paramount; skilled stylists and aestheticians can provide exceptional haircuts, styling, and treatments that ensure client satisfaction.

Innovation in service offerings, such as the introduction of new hair care treatments or styling techniques, can set a salon apart in a competitive market.

The location of the salon is critical, as a prime spot can attract more foot traffic and make the salon more accessible to clients.

Customer service excellence is essential for building a loyal clientele; a welcoming atmosphere and attentive staff can make a significant difference.

Lastly, effective business management, including cost control, staff training, and marketing, along with the ability to adapt to industry trends, such as embracing sustainable practices or offering online bookings, are crucial for a hair salon's long-term prosperity.

The Project

Project presentation.

Our hair salon project is designed to cater to a diverse clientele seeking personalized hair care and styling services. Situated in a bustling urban area or a shopping district, this salon will offer a range of services including haircuts, coloring, treatments, and styling, all performed by skilled stylists using premium, eco-friendly hair care products.

The emphasis will be on providing a luxurious and relaxing experience, with a focus on individual style and hair health.

This salon aims to set a new standard in hair care and styling, becoming a go-to destination for those who value expert advice, quality service, and a pampering environment.

Value Proposition

The value proposition of our hair salon project is centered around delivering exceptional hair care services with a personal touch. Our commitment to using eco-friendly and nourishing products ensures that clients not only look their best but also maintain healthy hair.

We offer a sanctuary where clients can unwind and enjoy a bespoke hair care experience, enhancing their natural beauty and boosting their confidence.

Our salon is dedicated to creating a welcoming atmosphere where every client feels valued and leaves satisfied, with the aim of educating them about sustainable hair care practices and the latest trends in hair fashion.

We strive to be a cornerstone in the community, providing a space where clients can transform their look and uplift their spirits, all while contributing to a healthier environment.

Project Owner

The project owner is a seasoned hair stylist with a passion for creating beautiful, healthy hair.

With a background in cosmetology and a flair for customer service, they are driven to establish a hair salon that stands out for its dedication to client satisfaction, environmental responsibility, and innovative styling techniques.

With a commitment to ongoing education and a finger on the pulse of hair care trends, they are determined to offer a superior salon experience that not only meets but exceeds client expectations.

Their devotion to the craft of hair styling and their entrepreneurial spirit make them the driving force behind this project, aiming to enhance the beauty and confidence of their clientele.

The Market Study

Market segments.

The market segments for this upscale hair salon are divided into several categories.

First, there are individuals seeking high-quality hair care services, including cuts, coloring, and styling, who prioritize maintaining a polished appearance.

Next, there are clients who are looking for specialized hair treatments, such as keratin treatments, hair extensions, or scalp therapies.

The market also includes customers interested in luxury experiences, such as bridal hair services, or those seeking a relaxing environment for their routine hair maintenance.

Finally, beauty professionals such as makeup artists and fashion stylists can be a key segment by partnering with the salon for events and recommending the salon's services to their clients.

SWOT Analysis

A SWOT analysis of this upscale hair salon project reveals several aspects.

Strengths include a team of experienced stylists, a commitment to using high-end hair care products, and a prime location that attracts foot traffic.

Weaknesses could include the higher pricing strategy that might limit the customer base and the challenge of maintaining a consistently high level of service.

Opportunities lie in the growing interest in personal grooming and the potential to expand services to include beauty and wellness treatments.

Finally, threats could include the emergence of new salons in the area, economic downturns affecting discretionary spending, and the constant need to stay ahead of hair care and fashion trends.

Competitor Analysis

Competitor analysis in the hair salon industry reveals a diverse range of competition.

Among direct competitors are other upscale salons, as well as chain salons and independent stylists offering similar services.

These players compete to attract a clientele that values expertise, experience, and a luxurious salon atmosphere.

Potential competitive advantages include a highly skilled team, a robust menu of services, brand reputation, and the ability to provide a unique and personalized customer experience.

A thorough understanding of competitors' strengths and weaknesses is crucial for carving out a niche in the market and ensuring customer loyalty.

Competitive Advantages

Our commitment to providing an exceptional salon experience is at the core of our competitive edge.

We offer a wide range of high-end hair care services, all performed by seasoned professionals who are dedicated to their craft.

Furthermore, our salon's ambiance, which includes a comfortable and stylish interior, contributes to a relaxing and indulgent visit for every client.

We take pride in our attentive customer service and personalized approach, ensuring that each visit is tailored to the individual's needs and preferences.

You can also read our articles about: - how to open a hair salon business: a complete guide - the customer segments of a hair salon business - the competition study for a hair salon business

The Strategy

Development plan.

Our three-year development plan for the hair salon is designed to establish us as a premier destination for hair care and styling.

In the first year, we will concentrate on building a strong local clientele by offering exceptional service and creating a welcoming atmosphere.

The second year will focus on expanding our services and possibly opening additional locations in high-traffic areas to increase our visibility and accessibility.

By the third year, we aim to introduce a line of exclusive hair care products and form partnerships with beauty schools and influencers to solidify our reputation in the industry.

Throughout this period, we will prioritize customer satisfaction, employee training, and staying ahead of industry trends to ensure we provide the best experience and results for our clients.

Business Model Canvas

The Business Model Canvas for our hair salon targets individuals seeking quality hair care services, from basic cuts to advanced styling.

Our value proposition is centered around providing a superior salon experience, skilled stylists, and personalized services.

We offer our services primarily at our salon location, with a focus on key resources such as our professional staff, modern equipment, and a comfortable setting.

Key activities include hair styling, treatment services, and customer relationship management.

Our revenue streams are generated from hair services, product sales, and additional beauty treatments, while our costs are associated with staff salaries, salon maintenance, and marketing efforts.

Find a complete and editable real Business Model Canvas in our business plan template .

Marketing Strategy

Our marketing strategy is centered on building a strong brand presence and community engagement.

We plan to attract and retain customers by showcasing our salon's unique services, talented stylists, and success stories through before-and-after transformations.

Our approach includes targeted social media campaigns, partnerships with local businesses, and hosting events that allow potential clients to experience our services firsthand.

We will also encourage word-of-mouth referrals by offering incentives to our loyal customers.

Finally, we will leverage influencer partnerships and online reviews to reach a wider audience and build trust in our salon's expertise.

Risk Policy

The risk policy for our hair salon is designed to mitigate risks associated with service quality, customer satisfaction, and operational efficiency.

We commit to ongoing training for our stylists to ensure they are up-to-date with the latest techniques and trends.

We will implement a robust appointment and customer feedback system to maintain high service standards and address any issues promptly.

Our financial risk management strategy includes careful budgeting and cost control measures to maintain a healthy cash flow.

Additionally, we will secure comprehensive business insurance to protect against any unforeseen liabilities related to our services.

Our focus is on delivering exceptional hair care experiences while safeguarding the well-being of our clients and the stability of our business.

Why Our Project is Viable

We are confident in the viability of our hair salon due to the evergreen demand for professional hair care services.

With our dedication to excellence, customer-centric approach, and innovative strategies, we believe we can carve out a significant niche in the market.

We are excited to enhance the beauty and confidence of our clients while growing a successful and reputable salon business.

We remain adaptable to industry shifts and client feedback, and we are enthusiastic about the bright future of our hair salon.

You can also read our articles about: - the Business Model Canvas of a hair salon business - the marketing strategy for a hair salon business

The Financial Plan

Of course, the text presented below is far from sufficient to serve as a solid and credible financial analysis for a bank or potential investor. They expect specific numbers, financial statements, and charts demonstrating the profitability of your project.

All these elements are available in our business plan template for a hair salon and our financial plan for a hair salon .

Initial expenses for our hair salon include the cost of leasing and renovating a suitable space, purchasing salon equipment such as chairs, styling stations, wash basins, and hairdressing tools, as well as investing in high-quality hair care products. We will also allocate funds for obtaining necessary licenses, insurance, and staff training to ensure top-notch services. Additionally, expenses will cover brand development and marketing strategies to establish our presence in the local market.

Our revenue assumptions are based on a thorough market analysis of the local demand for hair care services, taking into account factors such as population demographics, competition, and current beauty trends.

We expect a steady increase in clientele, beginning with a conservative estimate and expanding as our salon's reputation for excellence and customer satisfaction grows.

The projected income statement outlines expected revenues from hair care services and product sales, direct costs of services (such as hair care products and stylist wages), and operating expenses (rent, utilities, marketing, administrative salaries, etc.).

This results in a forecasted net profit that is essential for assessing the long-term viability of our hair salon.

The projected balance sheet will display assets unique to our salon, including salon equipment, product inventory, and any improvements made to the leased space, as well as liabilities such as loans and accounts payable.

It will provide a snapshot of the financial condition of our hair salon at the end of each fiscal period.

Our projected cash flow statement will detail the inflows and outflows of cash, enabling us to predict our financial needs. This is crucial for maintaining a healthy cash balance to support daily operations and growth initiatives.

The projected financing plan will outline the sources of funding we intend to tap into to cover our initial costs, such as personal savings, bank loans, or investor capital.

We will closely monitor the working capital requirement to ensure we have sufficient funds to manage day-to-day activities, including stocking salon products, managing inventory, and paying staff salaries.

The break-even analysis will determine the level of sales we need to achieve to cover all our costs, including initial investments, and begin generating a profit.

It will signal the point at which our hair salon becomes financially sustainable.

Key performance indicators we will track include the average revenue per customer, the customer retention rate, the gross margin on services and products, and the return on investment to gauge the efficiency of the capital we have invested in our salon.

These metrics will assist us in measuring the financial performance and overall success of our hair salon.

If you want to know more about the financial analysis of this type of activity, please read our article about the financial plan for a hair salon business .

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Hair Salon Business Plan: Passion for Beauty

Get your free hair salon business plan sample and successfully launch your beauty business. You brighten up other people's lives? Save & Print – it's 100% free!

Hair Salon Business Plan Sample

How to Open a Salon: Step-by-Step Guide

Business Plan Template: What You Get

• How to start a hair salon small business in easy steps
• How to work out prices as a hairdresser and beauty artist
• How to calculate the costs for a hair and beauty salon
• How to apply for the SBA Microloan Program

This Business Plan Template is Suitable For:

• Hair Salon Owner
• Hairdresser
• Beauty Artists

Your Benefits:

• Free of cost: Download the business plan template for free!
• Time-saving: Save time and open your business faster!
• Correct data: Avoid unnecessary mistakes!

Get Your Business Up and Running

ZANDURA is the all-in-one desk to get your business up and running. Realize your dream of being an independent and self-directed hair and beauty entrepreneur and get regular input on how to move your business forward. Why are we doing this? – Because small businesses are the backbone of the American economy.

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How to Start a Hair Salon? A Guide on Opening a Salon

Table of Contents

This huge turnover attracts entrepreneurs to make their roots in the hair salon industry. However, a salon career is not as easy when it comes to entering this profession. The salon business has a long journey of dedication, strong planning, legal actions, experience, and incorporating technology.

Here, we will introduce you to the right method on how to start a hair salon. So stick your eyes here as we will unlock many things.

Things to Do Before Opening a Salon

Initiate with Salon Business Plan

No business starting is possible without proper planning. The same applies to salons, and before starting them, you must have a clear analysis of services, their cost, and other things. In the case of the salon profession, the business plan should include industry analysis, target market, marketing plan, financial planning, and management strategy.

Register Your Business

For salon business, register your business details with the IRS and file with the secretary of state. After that, an Employer Identification Number is received. Trademarking your salon’s name is another thing to consider. A proper business registration process helps your business run smoothly. Neglecting this action could bring misfortune to your beauty salon business.

Select the Right Location

It matters a lot when you select the right location to establish your salon business. It can make or break your salon business. You can also evaluate the interior shape. Choose the right location and an easily approachable location for your customers.

As a salon owner, you can either choose malls or other high streets. This will enhance the maximum profit of your business. Think twice or thrice before finalizing your location.

Order Salon Equipment

Your salon is an incomplete place without the right equipment. Salon owners get a list of equipment ready before thinking about how to open a salon. You can buy some gently used items and easily save money. Also, the equipment should be of high quality. These are the primary pieces of equipment for a hair salon.

• Mirror, chair, and space to keep beauty and styling products
• Shampooing desk, shampoo bowl, and space to keep products
• Small reception area
• Styling products
• Cleaning products
• Washing machine

Recruiting the Right Staff

You must have a list ready of how much staff you need to run your business efficiently. Hiring experienced or skilled staff is necessary for your beauty salon. This is because it will enhance customer satisfaction and make a strong customer-centric approach.

Make sure you have an Employee Identification Number (EIN), which is also known as a Federal Tax ID number or Federal Employer Identification Number.

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Select Your Salon Software

Every business is adopting technologies, so how can a salon lack a race? Adopting the right software like Moon Invoice, will be highly fruitful for your new salon business by offering. It makes everything easy from accepting a payment to creating a salon invoice. Choose the correct hair stylist invoice template and prepare the invoice quickly and with accuracy.

You should also choose the high-performing spa & salon POS system to streamline your business sales and transactions. This will also help to make a fast and secure payment process. Fortunately, reputed platforms like Moon POS provide advanced features oriented Point of Sale to run your business transaction efficiently.

Obtain the Licenses and Permits

When it comes to how to open a hair salon, don’t forget to consider licenses and permits. You might not be required to obtain a cosmetology license, or its requirements vary from state to state. In general, you would need to complete a number of cosmetology schools.

Some other required licenses are as follows.

• Certificate of occupancy
• License for business operation
• Retail license
• Building permission

Additionally, you need to clear the safety and sanitation inspection. Electrical and fire safety practices and regular disinfection of equipment come under aspects of the inspection.

Business Insurance

Adopting business insurance is a great step in a new salon business. It assists you in covering losses that may arise due to losses during mishaps. A General Liability Insurance Policy is the basic insurance that you can choose. You can also choose more than one type of salon insurance for your business because many policies are available.

• Business property insurance: It covers salon equipment.
• Business owners policy: It combines various policies (business interruption, business property insurance, and general liability) together.
• Workers compensation: It is associated with your employees and protects you if any one of your employees gets injured while working.
• Business interruption: Business interruption insurance will assist in supplementing the lost income when you shut down your business for any reason.

Hire the Right Hair Stylists

When you think about how to start a hair salon, hiring the right hair stylist is in its prime state. You must thoroughly check their hair styling skills and experience. Might be the hired person is not a fully skilled person, so in that case you can provide some training. However, in this case, you must check their learning skills.

Figure Out Pricing

Setting a price for each service in your own salon is important. You must be careful while deciding on the price because you need to earn a profit at the end. To determine the price, you can check your competitors’ prices and current market costs. The price of your salon service may depend on the following factors.

• Location of your salon
• The level of service quality
• Clientele demographic

Set Up Your Space

You will run a hair salon business, and it is a public relations type of profession where customers will come. So it is highly crucial to keep your salon spacious. Additionally, you can choose smart storage to keep all your equipment safe in less space. Also, multipurpose furniture is another great option.

Market Your Business

This is also another crucial step in starting a hair salon business. You can choose traditional and online marketing to promote your business because both marketing types will contribute a lot.

For traditional marketing, you can place advertisements in newspapers and local business magazines.

For online marketing, you can develop your business website and promote it through SEO and PPC. Moreover, the other option is social media marketing which will help you to capture new customers.

To win the marketing game, you can either hire a freelancer or take an online marketing service from a reputed agency.

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How to Develop a Salon Marketing Plan?

A salon marketing plan is crucial to establish a successful salon business. Acquiring customers without proper marketing is not possible. Strong marketing is a gateway to gain new customers and retain old customers. That is why professionals should follow a proper marketing plan that includes –

Website Marketing – Create a website for your salon and promote it wisely. You can go for organic SEO or paid campaigns to let your website acquire a position in search engines.

Social Media Marketing – Social media power is not untouched by any business. Create business profiles on social media platforms and regularly post content related to your business.

Print Advertisement – If you have a budget to spend over the paid advertisement then it’s a good choice to go for it. You can perform Facebook ads to reach new customers.

Email & SMS Marketing – Let your customers be aware of new updates about your salon. Keep sending emails and SMS at regular intervals and create a strong customer bond.

Print and Brochure Sending – Printing and distributing brochures of your business will let people know about your business. This is a general and old marketing strategy, but still, alive to spread business awareness.

Promotion and Discount – No customer would like to miss a discount. Offering promotions and discounts will attract customers and help encourage old customers to come back.

How Much Does it Cost to Open a Salon?

The total expenditure of opening a salon depends upon the location, plumber work, storage space, and furniture work. The average expectation is $125 to $200 per square foot of space. One must have good savings before opening a hair salon because there are many expenditures.

Final Words

We hope this blog presents you with an informative answer to how to start a hair salon. Opening and starting a hair salon is a challenging task. You need to think in a 360-degree way to achieve success. It’s not rocket science, but it’s still not an easy game. With proper planning, investment, experience, and knowledge, you can run a successful business. Keep providing beauty and confidence to people.

The profit margin can be between 2% and 17%. The average profit margin of a beauty salon is 8.2%.

How Much Money Should You Need to Start a Hair Salon?

To start a hair salon on a low budget, the average cost starts at $62,000.

How Do I Set Up a Salon?

To establish a salon, you need to consider the following checklist

• Define the salon concepts
• Create a business plan
• Do business registration
• Select the right location
• Buy salon equipment
• Hire the right staff
• Marketing plan building

Is it Difficult to Run a Hair Salon?

Running a hair salon is not a simple profession. There are many things to think about when running a successful hair salon business. Managing a team, fulfilling customer demands, and acquiring the latest equipment are some key challenges. However, still with the right approach you can run a successful business.

Why Do Salon Businesses Fail?

The major reasons for the failure of the beauty salon business are poor management and lack of business skills. Prior experience is necessary to open and run a salon business.

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Free Business Plan Template for Small Businesses (2024)

Use this free business plan template to write your business plan quickly and efficiently.

A good business plan is essential to successfully starting your business —  and the easiest way to simplify the work of writing a business plan is to start with a business plan template.

You’re already investing time and energy in refining your business model and planning your launch—there’s no need to reinvent the wheel when it comes to writing a business plan. Instead, to help build a complete and effective plan, lean on time-tested structures created by other  entrepreneurs and startups. 

Ahead, learn what it takes to create a solid business plan and download Shopify's free business plan template to get started on your dream today. 

What this free business plan template includes

• Executive summary
• Company overview
• Products or services offered
• Market analysis
• Marketing plan
• Logistics and operations plan
• Financial plan

This business plan outline is designed to ensure you’re thinking through all of the important facets of starting a new business. It’s intended to help new business owners and entrepreneurs consider the full scope of running a business and identify functional areas they may not have considered or where they may need to level up their skills as they grow.

That said, it may not include the specific details or structure preferred by a potential investor or lender. If your goal with a business plan is to secure funding , check with your target organizations—typically banks or investors—to see if they have business plan templates you can follow to maximize your chances of success.

Our free business plan template includes seven key elements typically found in the traditional business plan format:

1. Executive summary

This is a one-page summary of your whole plan, typically written after the rest of the plan is completed. The description section of your executive summary will also cover your management team, business objectives and strategy, and other background information about the brand. 

2. Company overview

This section of your business plan will answer two fundamental questions: “Who are you?” and “What do you plan to do?” Answering these questions clarifies why your company exists, what sets it apart from others, and why it’s a good investment opportunity. This section will detail the reasons for your business’s existence, its goals, and its guiding principles.

3. Products or services offered

What you sell and the most important features of your products or services. It also includes any plans for intellectual property, like patent filings or copyright. If you do market research for new product lines, it will show up in this section of your business plan.

4. Market analysis

This section includes everything from estimated market size to your target markets and competitive advantage. It’ll include a competitive analysis of your industry to address competitors’ strengths and weaknesses. Market research is an important part of ensuring you have a viable idea.

5. Marketing plan

How you intend to get the word out about your business, and what strategic decisions you’ve made about things like your pricing strategy. It also covers potential customers’ demographics, your sales plan, and your metrics and milestones for success.

6. Logistics and operations plan

Everything that needs to happen to turn your raw materials into products and get them into the hands of your customers.

7. Financial plan

It’s important to include a look at your financial projections, including both revenue and expense projections. This section includes templates for three key financial statements: an income statement, a balance sheet, and a cash-flow statement . You can also include whether or not you need a business loan and how much you’ll need.

Business plan examples

What do financial projections look like on paper? How do you write an executive summary? What should your company description include?  Business plan examples  can help answer some of these questions and transform your business idea into an actionable plan.

Professional business plan example

Inside our template, we’ve filled out a sample business plan featuring a fictional ecommerce business . 

The sample is set up to help you get a sense of each section and understand how they apply to the planning and evaluation stages of a business plan. If you’re looking for funding, this example won’t be a complete or formal look at business plans, but it will give you a great place to start and notes about where to expand.

Lean business plan example

A lean business plan format is a shortened version of your more detailed business plan. It’s helpful when modifying your plan for a specific audience, like investors or new hires. 

Also known as a one-page business plan, it includes only the most important, need-to-know information, such as:

• Company description
• Key members of your team
• Customer segments

💡 Tip: For a step-by-step guide to creating a lean business plan (including a sample business plan), read our guide on how to create a lean business plan .

Benefits of writing a solid business plan

It’s tempting to dive right into execution when you’re excited about a new business or side project, but taking the time to write a thorough business plan and get your thoughts on paper allows you to do a number of beneficial things:

• Test the viability of your business idea. Whether you’ve got one business idea or many, business plans can make an idea more tangible, helping you see if it’s truly viable and ensure you’ve found a target market. 
• Plan for your next phase. Whether your goal is to start a new business or scale an existing business to the next level, a business plan can help you understand what needs to happen and identify gaps to address.
• Clarify marketing strategy, goals, and tactics. Writing a business plan can show you the actionable next steps to take on a big, abstract idea. It can also help you narrow your strategy and identify clear-cut tactics that will support it.
• Scope the necessary work. Without a concrete plan, cost overruns and delays are all but certain. A business plan can help you see the full scope of work to be done and adjust your investment of time and money accordingly.
• Hire and build partnerships. When you need buy-in from potential employees and business partners, especially in the early stages of your business, a clearly written business plan is one of the best tools at your disposal. A business plan provides a refined look at your goals for the business, letting partners judge for themselves whether or not they agree with your vision.
• Secure funds. Seeking financing for your business—whether from venture capital, financial institutions, or Shopify Capital —is one of the most common reasons to create a business plan.

Why you should you use a template for a business plan

A business plan can be as informal or formal as your situation calls for, but even if you’re a fan of the back-of-the-napkin approach to planning, there are some key benefits to starting your plan from an existing outline or simple business plan template.

No blank-page paralysis

A blank page can be intimidating to even the most seasoned writers. Using an established business planning process and template can help you get past the inertia of starting your business plan, and it allows you to skip the work of building an outline from scratch. You can always adjust a template to suit your needs.

Guidance on what to include in each section

If you’ve never sat through a business class, you might never have created a SWOT analysis or financial projections. Templates that offer guidance—in plain language—about how to fill in each section can help you navigate sometimes-daunting business jargon and create a complete and effective plan.

Knowing you’ve considered every section

In some cases, you may not need to complete every section of a startup business plan template, but its initial structure shows you you’re choosing to omit a section as opposed to forgetting to include it in the first place.

Tips for creating a successful business plan

There are some high-level strategic guidelines beyond the advice included in this free business plan template that can help you write an effective, complete plan while minimizing busywork.

Understand the audience for your plan

If you’re writing a business plan for yourself in order to get clarity on your ideas and your industry as a whole, you may not need to include the same level of detail or polish you would with a business plan you want to send to potential investors. Knowing who will read your plan will help you decide how much time to spend on it.

Know your goals

Understanding the goals of your plan can help you set the right scope. If your goal is to use the plan as a roadmap for growth, you may invest more time in it than if your goal is to understand the competitive landscape of a new industry.

Take it step by step

Writing a 10- to 15-page document can feel daunting, so try to tackle one section at a time. Select a couple of sections you feel most confident writing and start there—you can start on the next few sections once those are complete. Jot down bullet-point notes in each section before you start writing to organize your thoughts and streamline the writing process.

Maximize your business planning efforts

Planning is key to the financial success of any type of business , whether you’re a startup, non-profit, or corporation.

To make sure your efforts are focused on the highest-value parts of your own business planning, like clarifying your goals, setting a strategy, and understanding the target market and competitive landscape, lean on a business plan outline to handle the structure and format for you. Even if you eventually omit sections, you’ll save yourself time and energy by starting with a framework already in place.

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Business plan template FAQ

What is the purpose of a business plan.

The purpose of your business plan is to describe a new business opportunity or an existing one. It clarifies the business strategy, marketing plan, financial forecasts, potential providers, and more information about the company.

How do I write a simple business plan?

• Choose a business plan format, such as a traditional or a one-page business plan. 
• Find a business plan template.
• Read through a business plan sample.
• Fill in the sections of your business plan.

What is the best business plan template?

If you need help writing a business plan, Shopify’s template is one of the most beginner-friendly options you’ll find. It’s comprehensive, well-written, and helps you fill out every section.

What are the 5 essential parts of a business plan?

The five essential parts of a traditional business plan include:

• Executive summary: This is a brief overview of the business plan, summarizing the key points and highlighting the main points of the plan.
• Business description: This section outlines the business concept and how it will be executed.
• Market analysis: This section provides an in-depth look at the target market and how the business will compete in the marketplace.
• Financial plan: This section details the financial projections for the business, including sales forecasts, capital requirements, and a break-even analysis.
• Management and organization: This section describes the management team and the organizational structure of the business.

Are there any free business plan templates?

There are several free templates for business plans for small business owners available online, including Shopify’s own version. Download a copy for your business.

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Introducing Copilot for Microsoft 365—A whole new way to work

• Colette Stallbaumer, General Manager, Microsoft 365 and Future of Work
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Today, we announced Copilot for Microsoft 365 —your copilot for work. Copilot combines the power of large language models (LLMs) with your data in the Microsoft Graph—your calendar, emails, chats, documents, meetings, and more—and the Microsoft 365 apps to turn your words into the most powerful productivity tool on the planet . And it does so within our existing commitments to data security and privacy in the enterprise.

Right now, we spend too much time on the drudgery of work and too little time and energy on the work that ignites our creativity and sparks joy.

Copilot for Microsoft 365

Copilot is integrated into Microsoft 365 in two ways. It works alongside you, embedded in the Microsoft 365 apps you use every day—Word, Excel, PowerPoint, Outlook, Teams, and more—to unleash creativity, unlock productivity, and uplevel skills. Today, we’re also announcing an entirely new experience: Business Chat. Business Chat works across the LLM, the Microsoft 365 apps, and your data—your calendar, emails, chats, documents, meetings, and contacts—to do things you’ve never been able to do before. You can give it natural language prompts like “ tell my team how we updated the product strategy ” and it will generate a status update based on the morning’s meetings, emails, and chat threads.

Recent GitHub data shows that among developers who have used GitHub Copilot , 88 percent say they are more productive, 77 percent say the tool helps them spend less time searching for information, and 74 percent say they can focus their efforts on more satisfying work. 1

Reinventing productivity for everyone

Copilot for Microsoft 365 is integrated into the apps you already use every day, freeing you to focus on the most important work and less on the busy work. Working alongside you, Copilot for Microsoft 365 helps you to unleash creativity, unlock productivity , and uplevel skills.

Copilot in Word writes, edits, summarizes, and creates right alongside you. With only a brief prompt, Copilot in Word will create a first draft for you, bringing in information from across your organization as needed. Copilot can add content to existing documents, summarize text, and rewrite sections or the entire document to make it more concise. You can even get suggested tones—from professional to passionate and casual to thankful—to help you strike the right note. Copilot can also help you improve your writing with suggestions that strengthen your arguments or smooth inconsistencies. Here are some example commands and prompts you can try:

• Draft a two-page project proposal based on the data from [a document] and [a spreadsheet].
• Make the third paragraph more concise. Change the tone of the document to be more casual.
• Create a one-page draft based on this rough outline.

Copilot in Excel works alongside you to help analyze and explore your data. Ask Copilot questions about your data set in natural language, not just formulas. It will reveal correlations, propose what-if scenarios, and suggest new formulas based on your questions—generating models based on your questions that help you explore your data without modifying it. Identify trends, create powerful visualizations, or ask for recommendations to drive different outcomes. Here are some example commands and prompts you can try:

• Give a breakdown of the sales by type and channel. Insert a table.
• Project the impact of [a variable change] and generate a chart to help visualize.
• Model how a change to the growth rate for [variable] would impact my gross margin.

Copilot in PowerPoint helps you turn your ideas into stunning presentations. As your storytelling partner, Copilot can transform existing written documents into decks complete with speaker notes and sources or start a new presentation from a simple prompt or outline. Condense lengthy presentations at the click of a button and use natural language commands to adjust layouts, reformat text, and perfectly time animations. Here are some example commands and prompts you can try:

• Create a five-slide presentation based on a Word document and include relevant stock photos.
• Consolidate this presentation into a three-slide summary.
• Reformat these three bullets into three columns, each with a picture.

Copilot in Outlook works with you in your inbox and messages so that you can spend less time on email triage and more time on communicating—better, faster, and more easily. Summarize lengthy, convoluted email threads with multiple people to understand not only what has been said, but the different viewpoints of each person and the open questions that have yet to be answered. Respond to an existing email with a simple prompt or turn quick notes into crisp, professional messages—pulling from other emails or content that you already have access to from across Microsoft 365. Use toggles to adjust the tone or length of your note. Here are some example commands and prompts you can try:

• Summarize the emails I missed while I was out last week. Flag any important items.
• Draft a response thanking them, and asking for more details about their second and third points; shorten this draft and make the tone professional.
• Invite everyone to a “lunch and learn” about new product launches next Thursday at noon. Mention that lunch is provided.

Copilot in Teams takes the work out of working together. Copilot helps you run more effective meetings, get up to speed on the conversation, organize key discussion points, and summarize key actions so that the entire group knows what to do next. In your chat, Copilot gets you answers to specific questions or catches you up on anything you’ve missed, all without interrupting the flow of discussion. By adding Copilot to your meetings and conversations, you now also have a powerful tool to help with common tasks such as creating meeting agendas based on chat history, identifying the right people for follow-ups, and scheduling the next check-in. Here are example commands and prompts you can try:

• Summarize what I missed in the meeting. What points have been made so far? Where do we disagree on this topic?
• Create a table of pros and cons for [topic being discussed]. What else should we consider before making a decision?
• What decisions were made, and what are some suggested next steps?

Introducing Business Chat

Business Chat is an entirely new experience that works across all your data and apps, empowering you to do things you’ve never been able to do before. Business Chat works alongside you, using the power of the Microsoft Graph to bring together data from across your documents, presentations, email, calendar, notes, and contacts. Bring together information from multiple sources to keep everyone on the team on the same page and moving forward together. Spend less time focused on the tools and more time focused on the most important work. Today, our preview customers will be able to access Business Chat in Microsoft Teams.

Here are example commands and prompts you can try:

• Summarize the chats, emails, and documents about the [customer] escalation that happened last night.
• What is the next milestone on [project]. Were there any risks identified? Help me brainstorm a list of some potential mitigations.
• Write a new planning overview in the style of [filename A] that contains the planning timeline from [filename B] and incorporates the project list in the email from [person].

Extending to Microsoft Viva

Copilot in Viva Engage , one of many places where Copilot will integrate with Microsoft Viva , equips leaders with insightful conversation starters based on sentiments and trending topics across workplace communities and conversations. Copilot will offer leaders suggestions as they draft more personalized posts, with options to add images and help adjust the tone to enrich conversations.

Microsoft Viva Engage

With Copilot, we’re also making the Answers experience in Microsoft Viva Engage fast and efficient. Copilot will offer suggested prompts to enhance the quality of the question being asked. As team members engage, Copilot can suggest responses that keep the conversation going, including bringing in related knowledge and experts.

Building responsibly

Copilot for Microsoft 365 is designed for the needs of the enterprise. Our efforts are guided by our AI principles and Responsible AI Standard and build on decades of research on grounding and privacy-preserving machine learning. Microsoft’s work on AI is reviewed for potential harms and mitigations by a multidisciplinary team of researchers, engineers, and policy experts. We use the Azure Content Moderation Stack across our services to monitor and filter harmful content. Technologies like InterpretML and Fairlearn help to detect and correct data bias.

The Copilot System builds on our existing commitments to data security and privacy in the enterprise. Copilot automatically inherits your organization’s security, compliance, and privacy policies for Microsoft 365. Data is managed in line with our current commitments. Copilot large language models are not trained on your tenant data.

Finally, we have worked to design an experience that prioritizes human agency and puts the user in control. This includes noting limitations, providing links to sources, and prompting users to review, fact-check, and fine-tune content based on their own knowledge and judgment.

Get AI-ready with Microsoft 365

We are currently testing Copilot for Microsoft 365 with 20 customers, including 8 in Fortune 500 enterprises. We will be expanding these previews to customers more broadly in the coming months and will share more on new controls for IT admins so that they can plan with confidence to enable Copilot across their organizations.

Today, the best way to get ready for Copilot is to get on Microsoft 365 , the essential foundation for modern work. Microsoft 365 brings together in a single solution the foundational capabilities required, including identity, applications, management, and security, plus your enterprise data so that you can be AI-ready.

We will share more about pricing and details in the coming months.

More to come

Read about Copilot for Microsoft 365 on our Official Microsoft Blog , and for all the blogs, videos, and assets related to today’s announcement, please visit our microsite .

Learn more about Copilot in Power Apps, Power Automate, and Power Virtual Agents . Visit our WorkLab to get expert insights on how AI will create a brighter future of work for everyone.

Join us at Enterprise Connect on March 27, 2023, where we’ll share more on how Microsoft is using AI to transform productivity. And also join us on April 20, 2023, for the first-ever Microsoft Viva Summit , a free digital customer event, to get a look at the future of AI and Microsoft Viva.

1 Research: quantifying GitHub Copilot’s impact on developer productivity and happiness , Eirini Kalliamvakou, GitHub. September 7, 2022.

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• by Melissa Hammam
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Hands up if you’re ready to be dazzled! From a ceremony structure designed to float on water to a jaw-dropping reception room with flowers blooming from every service, we’re swooning over every bit of this wedding. If you can believe it, that’s just the beginning. Julia Kaptelova artfully shot every detail, like the ballet performance guests were treated to and snow falling from the ceiling for the first dance! Prepare to be amazed and take a visit to the full gallery .

From About You Decor … Our design is a symbol of dawn and a distant endless horizon. Ahead is a long, happy life without any borders. An international couple, Pavel and Cherry, met in London and have been walking together for many years.

From the Bride, Cherry… My husband and I we decided to have our summer wedding in Moscow because the city is where his roots are. As we knew we were going to have the other wedding ceremony in China, we wanted our Moscow one to be very personal and intimate. We’ve known each other since we were fourteen, together with many of our friends whom we’ve also known for a decade.

I didn’t want to walk down the aisle twice so the plausibility of my request quickly came into discussion. The open pontoon stage was constructed in order to facilitate the bridal entrance on water, although there were concerns about safety as the last thing we wanted was probably a drowned bride before she could get on stage, picture that! I have to say on that day it wasn’t easy to get on the pontoon stage from the boat, in my long gown and high heels. Luckily my bridesmaids still noticed even though they stood the furthest from me on the stage, and helped me out without prior rehearsal. My girls could just tell whenever I needed a hand or maybe they were just so used to my clumsiness. Who knows 😂

We all love our photographer Julia! She’s so talented and her style is so unique. Our beloved host Alex is exceptional who made everyone laugh and cry. It was truly a blessing to have so many kind and beautiful souls on our big day. Thank you all!

[iframe https://player.vimeo.com/video/384992271 600 338]

Photography: Julia Kaptelova Photography | Wedding Planner: Caramel | Cake: Any Cake | Invitations: Inviteria | Rings: Harry Winston | Band: Menhouzen | Grooms attire: Ermenegildo Zegna | Wedding Venue: Elizaveta Panichkina | Bridesmaids’ dresses: Marchesa | Bridesmaids’ dresses: Alice McCall | Bride’s gown : Jaton Couture | Bride’s shoes: Manolo Blahnik | Decor : About you decor | Earrings: Damiani | Muah: Khvanaco Studio | Video: Artem Korchagin

More Princess-Worthy Ballgowns

I’m still not convinced this Moscow wedding, captured to perfection by  Sonya Khegay , isn’t actually an inspiration session—it’s just  that breathtaking. From the beautiful Bride’s gorgeous lace wedding dress and flawless hair and makeup to the pretty pastel color palette and stunning ceremony and reception spaces, this wedding is almost too good to be true. Do yourself a favor and see it all in The Vault now!

From Sonya Khegay … It was the last day of April and still very cold in the morning. The weather forecast wasn’t pleasing and no one expected that the sun would come out, but miracles happen and light rain gave way to the warm rays.

I love how all the details went together, you could feel the harmony in everything throughout the entire wedding day from the morning until the fireworks.

A gentle look of the bride, elegant but so airy and unique decor, the fresh and light atmosphere of early spring and, of course, true happiness in the eyes. My heart becomes so warm from these memories, it is always a pleasure to see the birth of a new family of two loving hearts.

Photography: Sonya Khegay | Event Design: Latte Decor | Event Planning: Ajur Wedding | Floral Design: Blush Petals | Wedding Dress: La Sposa | Stationery: Special Invite | Bride's Shoes: Gianvito Rossi | Hair + Makeup: Natalie Yastrebova | Venue: Rodniki Hotel

• by Elizabeth Greene

You really can’t go wrong with simple: a beautiful Bride , perfectly pretty petals , loved ones all around. But add in an amazing firework show  to cap off the night and simple just became downright extraordinary. Captured by Lena Elisseva , with assistance by  Katya Butenko , this rustic Russian celebration is simply fantastic. See it all in the Vault right here !

From Lena Eliseeva Photo …  This cozy and warm summer wedding of gorgeous Natalia and Anton was in the middle of June. The young couple decided to organize their wedding themselves, and the day was very personal and touching. I am absolutely in love with rustic outdoor weddings, and this one is my favourite because of the free and easy atmosphere.

All the decor excluding the bride’s bouquet was made by a team of ten friends of the bride and groom. And it was charming – a light and beautiful arch, eco-style polygraphy and succulents, candy-bar with caramel apples and berries – sweet joys of summer.

At the end of ceremony the guests tossed up white handkerchiefs embroidered by Natalia’s own hands.

The most touching moment was the happy eyes of the groom’s grandmother, the most estimable person on the wedding. And the fireworks were a bright end to that beautiful day.

Photography: LENA ELISEEVA PHOTO | Floral Design: Katerina Kazakova | Hair And Makeup: Svetlana Fischeva | Photography - Assistance: Katya Butenko

These photos from Lena Kozhina are so stunningly beautiful – as in you can’t help but stop and stare – it’s hard to believe it’s real life. But these pics are proof of this gorgeous Bride and her handsome Groom’s celebration at Moscow’s Fox Lodge , surrounded by vibrant colors and breathtaking blooms . Oh, and the idea of prepping for your Big Day outside in the sun ? Brilliant. See more bright ideas right here !

From Lena Kozhina … When we met with the couple for the first time, we immediately paid attention to Dima’s behavior towards Julia. There was a feeling of tenderness and awe, and we immediately wanted to recreate this atmosphere of love, care and warmth on their Big Day.

Later, when we had chosen a green meadow and an uncovered pavilion overlooking a lake as the project site, it only highlighted a light summer mood with colorful florals and a great number of natural woods. The name of the site is Fox Lodge and peach-orange color, as one of the Bride’s favorites, set the tone for the whole design – from the invitations, in which we used images of fox cubs to elements of serving guest tables and other decorative elements with the corresponding bright accents.

Photography: Lena Kozhina | Event Planning: Ajur Wedding | Wedding Dress: Rosa Clara | Shoes: Marc Jacobs | Catering: Fox Lodge | Makeup Artist: Elena Otrembskaya | Wedding Venue: Fox Lodge | Cake and Desserts: Yumbaker | Decor: Latte Decor

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Gagarin Cup Preview: Atlant vs. Salavat Yulaev

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Gagarin cup (khl) finals:  atlant moscow oblast vs. salavat yulaev ufa.

Much like the Elitserien Finals, we have a bit of an offense vs. defense match-up in this league Final.  While Ufa let their star top line of Alexander Radulov, Patrick Thoresen and Igor Grigorenko loose on the KHL's Western Conference, Mytischi played a more conservative style, relying on veterans such as former NHLers Jan Bulis, Oleg Petrov, and Jaroslav Obsut.  Just reaching the Finals is a testament to Atlant's disciplined style of play, as they had to knock off much more high profile teams from Yaroslavl and St. Petersburg to do so.  But while they did finish 8th in the league in points, they haven't seen the likes of Ufa, who finished 2nd. 

This series will be a challenge for the underdog, because unlike some of the other KHL teams, Ufa's top players are generally younger and in their prime.  Only Proshkin amongst regular blueliners is over 30, with the work being shared by Kirill Koltsov (28), Andrei Kuteikin (26), Miroslav Blatak (28), Maxim Kondratiev (28) and Dmitri Kalinin (30).  Oleg Tverdovsky hasn't played a lot in the playoffs to date.  Up front, while led by a fairly young top line (24-27), Ufa does have a lot of veterans in support roles:  Vyacheslav Kozlov , Viktor Kozlov , Vladimir Antipov, Sergei Zinovyev and Petr Schastlivy are all over 30.  In fact, the names of all their forwards are familiar to international and NHL fans:  Robert Nilsson , Alexander Svitov, Oleg Saprykin and Jakub Klepis round out the group, all former NHL players.

For Atlant, their veteran roster, with only one of their top six D under the age of 30 (and no top forwards under 30, either), this might be their one shot at a championship.  The team has never won either a Russian Superleague title or the Gagarin Cup, and for players like former NHLer Oleg Petrov, this is probably the last shot at the KHL's top prize.  The team got three extra days rest by winning their Conference Final in six games, and they probably needed to use it.  Atlant does have younger regulars on their roster, but they generally only play a few shifts per game, if that. 

The low event style of game for Atlant probably suits them well, but I don't know how they can manage to keep up against Ufa's speed, skill, and depth.  There is no advantage to be seen in goal, with Erik Ersberg and Konstantin Barulin posting almost identical numbers, and even in terms of recent playoff experience Ufa has them beat.  Luckily for Atlant, Ufa isn't that far away from the Moscow region, so travel shouldn't play a major role. 

I'm predicting that Ufa, winners of the last Superleague title back in 2008, will become the second team to win the Gagarin Cup, and will prevail in five games.  They have a seriously well built team that would honestly compete in the NHL.  They represent the potential of the league, while Atlant represents closer to the reality, as a team full of players who played themselves out of the NHL. 

• Atlant @ Ufa, Friday Apr 8 (3:00 PM CET/10:00 PM EST)
• Atlant @ Ufa, Sunday Apr 10 (1:00 PM CET/8:00 AM EST)
• Ufa @ Atlant, Tuesday Apr 12 (5:30 PM CET/12:30 PM EST)
• Ufa @ Atlant, Thursday Apr 14 (5:30 PM CET/12:30 PM EST)

Games 5-7 are as yet unscheduled, but every second day is the KHL standard, so expect Game 5 to be on Saturday, like an early start. 

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